Sacred Haven of Debauchery

Peripheral capitalism (Spanish: Capitalismo periférico) is a form of capitalism characteristic of “Third World” countries (countries on the “periphery” in world-systems theory). The term is actively used in dependency theory; it was first proposed in the works of R. Prebisch (1976) and developed in the works of T. Dos Santos.

Classical theory of capitalism considered capitalism either within the framework of a national economy (ortho-capitalism) or extrapolated this data to the entire world. The theory of peripheral capitalism partially correlates with Lenin’s idea of imperialism, but it has its own characteristics. For example, in Lenin’s theory, peripheral countries were seen as proletarian, that is, participating in the production of world wealth. Peripheral capitalism is considered a dead-end branch of world development, so the term “developing countries” is considered incorrect.

Peripheral capitalism was formed on the basis of colonial countries, so it carries with it the characteristics of a colony: it is a raw material appendage and a market for the sale of goods from industrialized countries.
Main characteristics

Export-oriented (agrarian-raw material, comprador) and dependent nature of the economy (banana republic, resource curse, Françafrique)
Specialization, lack of diversification (monoculture) of the economy in the context of the global division of labor, and in this division of labor, Third World countries occupy a knowingly disadvantageous position (“Poor South”).
Oligarchic system of government, corruption of state institutions (crony capitalism, kleptocracy, mafia state)
Underdeveloped domestic market in conditions of poverty of the overwhelming majority of the population. The most striking consequences of this state are the brain drain, labor migration, and capital flight, which ultimately leads to the depletion of resources.
Depopulation (in some countries)
Political instability, rising social tensions
Deindustrialization (in a number of countries)