Transforming Culture to Stimulate Economic Development

Abstract

In furthering the discussion on the linkage between economic development and culture, this paper attempts to answer the question: “Can a society's culture be transformed to stimulate economic development?” This paper uses Singapore as a case study. It traces the country's restructuring of cultural values to foster economic growth and development which allowed Singapore to grow from a small island state with a sagging economy and no natural resources, to become one of the most respected and widely recognized developmental models of the modern era. This study shows that social controls can help newly developing countries in creating political stability and social cohesion that allows for rapid economic development. However, the negative effects of such measures lead to the creation of a compliant society that lacks creativity and innovation, is risk averse in entrepreneurial activity, and prone to talent depletion.