The debate between modernization theory and dependency theory has been waged for decades without either being fully accepted. Billet attempts to bridge the gap in that debate by evaluating the underlying causes of economic discontent in the developing world. The author’s evaluation is based on a theoretical and empirical analysis of the interrelatedness of external forms of development capital and the implications of these patterns not only for modernization and dependency theorists but also for the least developed countries of the world. The purpose of this analysis is two-fold: (1) to evaluate the degree to which modernization and/or dependency theory is applicable to the experiences of developing countries; and (2) to evaluate why external capital flows have resulted in an overabundance of economically discontented developing countries.