The German sociologist and communication theorist Jurgen Habermas' theory of communication as it applies to the problems of developing nations takes into account both the structural factors that hinder indigenous development as well as the individual psychology of the citizens of the less-developed countries (LDC). This paper details the application of that theory. Following the introduction which discusses various models that have attempted to both explain and predict the process of "progress" in the less-developed countries since the late l950s, the paper presents the first component of Habermas' model, critical theory, which attempts to combine the transcendental spiritualism of Kant and Hegel and the materialism of Marxism. Next the paper examines Habermas' position that psychoanalysis is the avenue by which individual persons and the society methodologically achieve "self-reflection," a prerequisite for the emancipation of individuals from unnecessary domination. The paper then discusses Habermas' theory of communicative competence which has two parts: (1) universal pragmatics, and (2) ideal speech situation. The paper closes with a discussion of the specific area of communication rights where Habermas' thought has been paralleled most closely, and a critique which suggests a major weakness of Habermas' theory of communication and governance; that is, his assumption that all people at all times are able to offer and accept only rationally argued, bias-free claims. (Twenty-four references are attached.) (NH)