Which of the following is the last stage of economic development according to W.W. Rostow’s model?

Solution

W.W. Rostow proposed that all societies pass through five distinct stages of economic growth. Here is the breakdown of the stages in chronological order:

1. The Traditional Society: An economy based on subsistence agriculture with limited technology and a rigid social structure.
2. Pre-conditions for Take-off: A period of transition where scientific advances begin to be applied to agriculture and industry, and infrastructure (like transport) starts to develop.
3. The Take-off: A short period of intensive growth where industrialization begins, and workers shift from agriculture to manufacturing.
4. The Drive to Maturity: A long interval where the economy extends its range into more complex processes and diverse goods (like electronics and chemicals).
5. The Age of High Mass Consumption: The final stage where the leading sectors shift toward durable consumer goods and services. In this stage, the majority of the population enjoys high levels of discretionary income, and the society is often characterized by the rise of the "welfare state" and urban/suburban living.

• The Drive to Maturity (A) is the fourth stage, occurring just before the final transition.
• The Take-off (B) is the third stage, representing the initial breakthrough into industrialization.
• Pre-conditions for Take-off (D) is the second stage, setting the groundwork for growth.