By Howard S. w/ Henry C. Wallich (eds.) Ellis
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Extra resources for Economic Development for Latin America: Proceedings of a Conference held by the International Economic Association
May not this have still more dangerous consequences in under-developed countries where public administration is as a rule defective? The comments made on the shortcomings in technique and sources of information may first be analysed. The weaknesses noted, and others which a more thorough examination would bring to light, are undeniable. This indicates two facts. First, a programme cannot be taken as something perfect and final, but rather as a body of conditional but feasible possibilities. If the external circumstances taken as a basis for programming were to become reality, the programme would show how best they could be turned to account in the acceleration of development.
Dr. Kafka's statement that Latin America as a whole had not fallen sensibly behind the United States in its growth of average income between 1929 and 1954 seemed to surprise several members of the group. Professor Haberler thought that the Latin American statistics of overall output might be subject to a comparative upward bias for the same reason that Russian figures were biased- namely, because in early stages of industrialization basic industries dominated the scene. In more highly developed countries quality changes, diversification and the rise of service industries, which were insufficiently reflected in output statistics, tended to produce a comparative downward bias.
It seeks, first, to explain why some Latin American economists are convinced of the advantages of a development policy linked to a programme that covers the whole of the economy and aims at maximum compatibility of the ends pursued ; and, second, to discuss and analyse the methodology which the Economic Commission for Latin America has been working out and applying in some countries for the formulation of projections on which development programmes can be based. II. NEED FOR AN ENERGETIC DEVELOPMENT POLICY The inadequate economic growth of most of the so-called underdeveloped countries may be attributed to more or less powerful concrete causes, which persist through time, and which can be remedied only if the community takes positive steps to do so especially in the form of state action, with clearly defined objectives and instruments.