event Any ofthe Used Mates 48 (¥)) ho ‘ie oupnteethie development: Hence our report concentrates on the measures the economic development of under-developed countries 5. Given the appropriate frameworks, economic development 2ceed by way of improvement of technology, and of ve 9. The report concludes with our recommendations Chapter UNEMPLOYMENT AND ECONOMIC DEVELOPMENT 10. Unemployment in the under-developed countries fll into AL, Cyclical uctations cause some unemployment in under developed countries, but their major effect in such countries is ‘metting the extra demand at the peake Phenomenon. Further development of agriculture in any are which {ives rie to such teasonal demand may provide additional em- al an nena Meare for Fal Employment, EAA, Und wadtne Paulo Stara ‘eed = 53 PART 2. MEASURES REQUIRING DOMESTIC ACTION uses the birth rate to fll, until i gets so low that the population Shay even fall. And thialy, the ies along time to close Chopter VII DEVELOPMENT PLANNING: PRIORITIES iteefld or more. 146. ‘There are many countries where a further increase of pops- Inge considered, be found to be an adverse factor. not af fo the slow cull requ ‘one should not think of any single an any other, 150. In under-developed countries, major structural readjast- vanced counties2 Par 2 MEASURES REQUIRING DOMESTIC ACTION Vit DEVELOPMENT PLANNING: PRIORITIES Py investment mas be kept within the Unit wt by the minimum Inve bubw whith eoueptonio oto 7 en of secondary wsefaln more dif ‘Human Investment and Material Investment how large a propor- vies ima develop to tha dsl te forthe fact shat no two ir de planning, and Fully be made. Ta the rest problems which ave often ‘Between consumption and investment: Between investment in human beings and investment in material ea ‘Between public works and other productive activity ‘Between autarchy and foreign trades and Countries actualy accumulate balances and may thus be react balances and may this be a source 158, The other reduce capital form the services suezeed emphas Consumption and Investment 1st, Up to point, the choie between consumption and invest- meat is the choice ofthe rate at which economic development is t9 Be pursued. We have already diseused, in chapter VI, that govern the rate of domestic saving and we shall in chapter XI, with investment that2 PART 2 MEASURES REQUIRING DOMESTIC ACTION may have been forced to reduce its expenditures on public works ‘iaher capital formation in order to find the money for social a productivity. It may merely fn people eather than in materia cap 10. Ts our opinion, most under-developed countries are in te ‘people is likely to prove as productive, able investment in mate no spheres, he sphere of public heal peblic health increases productivity. re which res the incidence which increases the capacity % w apenditre should have the ment programme, ‘ot all expenditure on education increases pro- inode seconded to three diferent educational iS agricultural extension services, Tn iy of the people work a5 small (it DEVELOPMENT PLANNING: PRIORITIES 1. The third educational task is tot sol 7H een ak i to tin sled persone of sequred 20 that nev technologies may be ‘of underdeveloped: eis sa Public Works 1G, Tt is hard to find the right balance he 1 the right balance betwee manufacturing or other sctvities.Ey PART 2. MEASURES REQUIRING DOMESTIC ACTION ‘types of economic activity ean begin Bre OL SSe development planning is easier shee the government BOS" Boge or less confine its attention to providing these base job, requent sy need is pulled dows Sey years, rather than’ permaneat IIL. DEVELOPMENT PLANNING: PRIORITIES s should, im general, be rprend ple structures rather Uhan Belng concentrated on jes created hy excessively high standards can to some extent be avoided by encoursging focal communties to6 PART 2, MEASURES REQUIRING DOMESTIC ACTION fc works with ther own hands; the villagers, tole and 5 provement and mass” pa in development which is the Eecret of rapid progress 176. Most of the governments of under-developed, countries (ven towards autarchic to be sharply fies for moving in that direction the frst commodity that tquactty of the same commodity which could be SKcond commodity were produced instead and sold abroad ‘VIL DEVELOPMENT PLANNING: PRIORITIES o , the cost of producing a commodity at home ma of the quantity prod the length of eiale Seoween prima ommouides ‘And forthertncerinty about the extent saragrapte on te ak rapid economic development impor its on ign tsle velopment may” impose’ & suse the need for imports gPART 2. MEASURES REQUIRING DOMESTIC ACTION they are not covered by external bottle-nech grants of inde een ce employed in domestic oF in for- en apart from consi ‘proportion of resources devo ‘governed arageapbe of this chapter. That ‘bevouch that aeither by mang the economic development proceeds, manpower shifts from agricatece into manufacturing industry, because technical progress IIL DEVELOPMENT PLANNING. PRIORITIES 8 thus clear that there is no need to ct developing agric eto choose between2 PART 2. MEASURES REQUIRING DOMESTIC ACTION ‘nd wa th octane ood yal fe seeped in he at of ues ect Bi spc ey ay Ah re ay com ean a at a doce Se mart be gen io ae nen of domest a ‘of the General Assembly of the SRA, Aten Senge or obi of wane! a Or a etre We iis cepa wactaee a Sea re apes ome se anae ec one ate ae be ite aly co, It decane reread Ie ol oa cet pee Sergio ten lat Tol ay den nn a er ogee satin ens ming, tote ge ko eg Senin tc a mero wo end Berane rte mt oe et eae ee Ae seat pe eh spoon oa in i em eo age cl lt Soe et eee re a Chapter 1X DEVELOPMENT PLANNING: TECHNIQUES 192, ‘The preceding chapter discussed the allocation of between the various types of economic activity of development planning. This chapter is concerned with the pro seh of formating development pograrimes and of ating them 193, ‘The fest stage of planning isthe sarvey: to find cat wh ey: to find ct what resources are valabe and what re the potent of level tment Here the work tobe done may be sub divided ino echnical Sorveys and economl surveys leveloped countries have few technical sur they do not reall now ‘what their development posi sand are oot cally a 10 begin developmen "Their need, at thi Stages sabia wave orguisatiny hey need po {round sources of water and of ol They need sell survyay tad ‘periments to discover what new crops can be grown succes i. ‘They need engineesing sarveys of routes for roads of communica ‘ont ad ofthe pose: of irgntion tyler owe of ter And ey Wed ware corcha ekns Totegn markets, fo lndcae what new wamucerig Foe cr Tn wa pote en ge RE pin conrqucae on of et nee a Jeep cones develope Se do not know what is pos ae ‘ndtry, in masketng and fs transport ri some eonstion a2 PART 2, MEASURES REQUIRING DOMESTIC ACTION needed? And soon, We have diseussd these matters in some detail overames Economic planning, becuse they me "Phere sof the contrary Chapters. We empha ‘changing all the hardest part of this type of work isthe inital survey has been made, keeping easy. and that the inital survey ean provide mo: bre apt to overlook since the situation and tion which i needed to begin development 98. We come next to planaing. The term “pl many diferent eenses, of which we distingwish fou. Fi ‘manpower budget ne people, and vesieh stems types of surveys need to be T's not enowgh that af hor here only the fact that some sidgets show the 7 the wilzaton soning. The sphere DEVELOPMENT PLANNING: TECHNIQUES cent years, several governments ave adopted drawing up plans for eee SSeral menting gears ighly to be recommended. to developed contre. In the protese of drawing up ie fest the several agencies verame 21. Tse main danger ‘obvious. Since no one ‘fis produ abby diets‘PART 2, MEASURES REQUIRING DOMESTIC ACTION Siivevear plan year, and (9 make ‘Production Goals feo hegprerament sta Lied oan er resources involved becomes Ghngerous to plan for par” Sag\the reactions spon the Comprehensive Planning partof the economy. 1 DEVELOPMENT PLANNING: TECHNIQUES 6 206. Consistency of plans tested by making budgets forall resources which saree. For ex ranpower budget mill show, on one de, fon the other sd any realistic pn, Furthermore, by comparing the figures showing. how the resource is to scarce supply 207. To testing the consistency of programmes with each other, the sort he programmes production are consite psses_on itt way t0 Aeveloped technique of Jnpat-outpat matric may ing the economy by means of an some possibilities. Slstent with eseh other, say, in five the goods ‘the supply of savings be consirent the demand for foregu exeiage be consistent with te planned supply?6 PART 2, MEASURES REQUIRING DOMESTIC ACTION swers cannot be dor available on road cease to be accurate with the passage Bf tase, Moreover, much depends on factors which cannot be pre- See Ach an the effect of the weather on agricultural yields, for the effet of cyclical Stosible person would pretend chat he cy of the various pasts of a plan. A “hack depends on the good judgment of those who have ‘diese matters, ol uede No ally be noted ‘sothing more than assert tr particular pro Spon every. sector of the economy. How many fetonomy the id utr fre few or many, they fensve analysis of the intreelations of the economy, ‘Potting Plans into Operation ‘mia, Merely to announce not pat into operation which Uirections ‘private enterprise, how Enterprise moves in te right direction. [DK DEVELOPMENT PLANNING: TECHNIQUES they can do, ey would be rel ‘or equally well by private enterp the light of the priorities, uld make avery large. contribution ald ma Ye Inge contbution to eonemiPART 2, MEASURES REQUIRING DOMESTIC ACTION Gre uighly sensitive to diferente rewards. But ifthe quantities to ie meved are large, and the moverent must be rapid, it uswally bas to be dne by tection. 219, A further consequence of the difficulty of con ‘Heter to concentrate on operating into ty fo control every nook and cr Sratagie varies from economy to economy foreign exchange, of tegic in hiss ‘whole econo. 1220. One of the most dificult problems connected with the plan ning and directing of exonomie activity is the tendency towards Cxetzsive centralization which discourages faded regional and local authorities, enjoying as large ‘E'possiie of autonomy in adjustment 25d adaptation Part 3 MEASURES REQUIRING INTERNATIONAL ACTION