In Malaysia, development is very important in order to achieve 2020 Vision. From the perspectives of social science, development cannot be explained by using common sense. Earlier thinker has their own theories and measurement to explain about the development. In general, the definitions about development is “when development thinking broadened to encompass modernization, economic growth was combined with political modernization, that is nation building and social modernization such as fostering entrepreneurship and achievement orientation” (Pieterse, 2010, p. 6). As a whore, there are three theories that can be used to explain about development which is Modernization Theory, Dependency Theory, and World System Theory (refer to Figure 1 in Appendix 1).
The first theory to explain about development Theory of Modernization introduced by Walt Whitman Rostow that explained about five stages that needs to be achieved in order to develop. The stages was called as Linear-stages-of-Growth Model to explain the process of economic growth in which the process is considered as a series of successive stages of economic growth which all countries must pass through. According to Rostow (1960), there are five stages of development in which those stages focus on development from underdevelopment to development or in other words, those stages explain the move from agricultural society with traditional cultural practices to a rational industrial and service focused economic.
The first stage is the “traditional society”. In this stage, society are depend all over on the agriculture to survive and as their resources. They rely on the political systems in which the power was owned by people who control over the lands which agriculture is extensive. The second stage is the “pre-conditions for takeoff”. The “pre-condition for takeoff” stage explains that the introduction of science in the economy had occurred and creates new technologies advancement for industry and agriculture (Rostow, 1960). The agriculture moved to more market orientation beyond subsistence, meanwhile the transportation and other social infrastructure were also developed. The third stage is the “take off” stage. This stage is characterized by dynamic economic growth. The economic forces had limited modern activity, expand and begin to dominate the societies in this stage. Compound interest was built into societies’ habits and institutional structures. According to Rostow (1960), in stage, not only the social capital and technological advancement had developed, but also the political power of a group of people who considered high-order political business. During the take off, the rate of effective investment saving has increased from about 5% to 10% or more. Besides, supporting industries also expand rapidly and more towards profit oriented. Supporting industries were developed in which in turn will stimulate the requirements for factory workers, the services to support them...