ABSTRACT
In discussing the theory of economic dualism, the chapter brings in a new dimension in our understanding of underdevelopment. The chapter proffers a criticism of the conventional theories of dualism, starting with the sociological dualism to classical and neoclassical variants of the theories. Admittedly, the original Lewis model did not anticipate a growing un- and underemployment in the modern sector to the extent of the contemporary expansion of the informal sector in urban areas of underdeveloped countries. The wake-up call to countries like Zimbabwe and those in similar circumstances is that priority should be given to agriculture and small-scale enterprise, thus leading to greater equality and more speedy eradication of poverty. Without equalising opportunities and honing in on rural agriculture, there will be no meaningful structural transformation towards industrialisation of these economies. In underscoring the shifting of the focal point of progress from the agricultural to the industrial sector, Fei and Ranis believed that this takes place when the investment funds from agricultural surplus and industrial profits are sufficiently large so as to purchase industrial capital goods like plants and machinery.
