UNITED NATIONS
AFRICAN INSTITUTE FOR ECONOMIC DEW.:LOPMENT .AJID EUNNING
REPRODUCTION/382
DAKAR
DEVELOPING C OUNTRIES :BETWEEN THEORIES OF ECONOMie GROWTH
AND THE THEORY OF SOCIO-ECONOMIC DEVELOPMENT (Sorne Methodological Considerations)
:BY
Prof. Dr. FAWZY MANSOUR
...
APRIL, 1975
AND
DEVELOPING COUNTRIES BETWEEN
-~ THEORIES OF ·ECONOMIO GRŒfTH
REPRODUCTJDN/~82 Page 1. '
THE ~QRY OF S_OC ;ro-:-EÇQNO_~IC . DEVEL~~~!Ii_
(Sorne Me thodologwal C ons~dera t·~ans} · I. ; ; Or6wth ·an·d Development
1. · .Th~ories of. economië grbwth are that part of economie theoey which:
(a) etudies the l·~g-run rela t'ions and ïnterc6ime'6'tio~s 'betîeen certain ecenomic aggregates wi thin a give·A) s;ocib~ec6nomic formation, in ord~; to set out the condftionà for the •ptimi- zation of èertain:..:continuously changing'e~i"inomic magnitudes (auch as the po;·· c:lpi ta ino:;.rjitie) · of whioh. iihe riptimiza ti on is _
\. "· ',.·· . . .. ., '
considere<i to be desirable from·-t~;:~.poiri.t of view
of
society:... :··
, ,t .'
<
·~.
('P) . or which s~~~-~es the. long-run performanc~ of tb.e g:i.ven economiesystem,. in1 order to evalua te this performance in terms . ' .of or
!. ··'
'W'.ith :ratorence to those desirable optima, and to f~nd out,
pow
" ·;:
·~··· ... --: :· they can be actually apprmcima te.d.
· It will be se en- from L this (ad.mi ttedly put, unavoidably somewha t arbi'trary'} definition tha t ltbeoriea of economie growth are taken. t.o be
tbo'se: theo;ries which de.c..l 1Vith the quantitative -aspec.t. of_.fhe .motion of
the eoooornib system wi thin a given .~oci:Ç>-~conomic :fopnat:i.on. (.This .... éxp-lic;i~t :reference to a given sQci•t-e.conemic-format~on does no.t e:xclude tlre~ liossibility <Df certe.in quan'tit!'l- tive rel?-tionships relnting to .economie growtb ·;;;.; e•g•'' ~he :rate of accumul~.ti<>n and the rate of incarne growth - being releyan't: iio more than on.e sooio-economic for~ation. Sucp_,.fe}~- , tionshi-"Ps,' however, when extend~d, to ·!DOre than one socio,;.econom:i.G-. forma-
. . . .L·.· : ...••
~on, are mor.e formal tho.n substant-i:v:e. The ir real content is .determined
. ~ , ...
~ This paper was presented to the International conference on
"Problems of Extended Reproduction" hel~ _ _:;~~---~=rlin, __ Q~D. ~~--'-·
from 8 to 12-:-12~9· --· ----··-··---
R/2697
Page 2.
by the nature of the socio-ec.onomic formation to which they are applied). Furth€n'more, it is' seen f-Tom that definition that all
. '
theories of econom:l.è growth, since they·· revolve around the concept
of desirable optima, include an explici t normative elernent_. Î TbA..'E_trengt~:
'Ot-t::::.ie':e;l.Gr_;unt- usuc.lly v~!'-ios c..coording·~ ·t.o wlwthor t1w pP.rticular
. ~- . . . . .. . . . ·.
-v_g_.~ .... _-nt
or·
gro>-1'1îh -tJ:(_-ory lays greee ter stresa:.;:>n
thG elnbo.ra-tio~ of opt::.- . L::tl -con-d:it-ions -a.r-· on -the actua1 working o:t- the given economie system.·(2) DevelopÎnent is an
ondles~
processtr
nagntion of who.t is,·· ":a~d the emergence thereof of wh2-t is new. Thus, in c·ontradiction
'wi tli" growth theories, th'e theory df so.cio-~conomic development con-
.· . r ·. . . . ..• '' :· ·. . ·. . .
-,èèiitrates on the g_'ua.lita.tive·~aspect of the motion of society, wi thin
à 'giv'en socio..:econoinic formation, ()r from one socio~économic forma-.
tien. to a.nother,
·or
through succes-sive socio-e'conomic format:ions (inwhich:. _]:a tter en se i t be cornes identical .with histor.ical -mn teriéüism). Tt does not conceJ"n i tself with ev.?oluation, with ths s-et ting up of criteria and condi tions.f'or optima, but with the objective analysis
_?f t.he his torica1_ proçe:3s as i t actuallJ7 proceeds, wi th the :Y"~ew of
·' ·... . . .
discov~ring .. _,; the laws -vrhich govern its motion.., . . I.f, qw;:.li'tiative norms .
' ·._.;• ..... .·. . .. -. ' ... · . ·' -· ......... . .
such as .'.'l?r?~r7:~s" "hig~er" stages of development • • • e~.c~ ,_-appe.s.r,. ,_
in this a
11
e.tys~_s, . they arë.I.s~p;~mE3ly significant a~d _imppr.tanj; as .,. : ' . . ,. . . .
they a~e .. in practice) only Jrnpli_~~ t. in the logical ~:tr\lctll:.\e op_ wpich .
such an analysis is b_ased. The main object of.the the9ry,o::f E!Ocio-·
eco~?mic.development is the discovery of the internal~l~g~c of the historic2-.• l process. .·If, in the. his.torical c~nditions :i.n wh:;cb tha,t
····:~J .. ..
theory appeared this discqvery was necessary .for speeding up .tbat · :
. . . . ,. . . '· .. ~ . . . . ' .
.
- ~ ' .. . .process, and i f this also ,is ~onsi~er~d to be desi,rab_lE), this if?_.<ü1
<1n inherent part of the logic of the theory itself, and not "vnlues"
or "norms" added to it from outside.
----... ~--·-···-···--·-· --.......
-
.. -~-·---... ·-···--·----.. ,.._. __ _~ ...
1. F'lr the the ory of socialist economie growtb·, h~weveT ,~ see further paragraph (5) (c) of this paper in connection with this point.
(3) It bas been maintai~ed above
REPHODUC~~382 Page 3
in (1) and (2) - tbnt, where- as theories of growth rel~te to certain (economie) quantitative aspects of the motion of society, the theory of development de~ls in the first place with the qualitative aspect of that motion. This, in itself, is sufficient to indicate tbat both types of theory are ultimately and insepar.ably linked wi tb one anotber. Growtb cannet be profi tably er meaningfully 1:m.:üysed independently from the type of socio-economic formation witbin whicb it takes pl~ce (and its offocts thereupon);
and every socio-economic formation develops, tben is transformod into another, througb quantitative cbant_es whicb, when aggregc.ted, form wbolly or partly the subject matter of the study of growth. Instead, bowever, of developing this tbeme into wbat may be nn exercise in elernentary logic, it will be more relevant to the purposes of this discussion tc rnake a brief reference to the place of theories of econo- mie growth and development and tbeir interconnections, in beth bour- geois and marxist literature.
II. Growth and Developrnent in Bourgeois and Marxist Literature
(4) Beginning with bourgeois the~~ies, one elernentary rernark needs tc be made bore. Bourgeois economie theory, by definition, can- nat be expected to entertain even a rernotely scientific tbeory of economie developrnent. It would caase to be bourgeois if it did, sinoe the permanency of the capitalist system is an integr~l part of the ideology of the bourgeoisie.
( Genero.lly s:pe~tking, i t l'ms only in the carly stnges of :Lts deve- lopment, wben i t wa.s figbting for capi tc.lisrn end againat feuda.lisrn, tbA.t bourgeois economie tbeory contEJ.ined sorne restricted, relo..tively valid, elements of a tbeory of developrnent. No atternpt is made here t• deal with petit bourgeois and otber unscientific "theories" of Devel opmen t).
REPRODU9TION/J8,2
..
·-· \ •': ·.Pago -4.
' 1~
. ''.' -~ ~- ;_:·. ' ' . · . .. ' i
Grow~h~ by qontrast, .,wa.lil , tho !Ilain ooncern oif Cl&ssiiêàl Poli tical
~oonomy. It is no accid13nt. that.,Adn.m Smith 1 s book was entitled: "An Ï.nquiry _in.to the Nature and CausE:lsof tbe Wec.lth of .:Uat·ions.11 This Pie-ÔcclÎp_at~.on wi ~~ ,growth, howeye;r, soon receded in fàv<-ù:r of whQ,t
·came late~ t~. be c.l)ll~d .(micro-economic) equilibrium analyàis, that
id,
an.::üysis which d.efl..ls(not '~'l,_ii;h the !IlOv:ement of global aggregates, but takes as i ts basic unit the individual and. the P!:Ïlva;te :~mt~;rprise,andlll'hich avowe'cüy' or ~urre:p,ti·Ùousiy, has a s:i,rn:p1e (thougl} çamoutlage·d
. ' ' '.. . '' ··- . .
· under
the weight of more and more complex techniques) .. me~s~;~.g~· to,·convey;that in thé world of pr:lvate énterprise al?-d market eco~omy,, a,J;most·, :!•.'
evcrrything, incdudirig optimal condi tiens .o:( variou,s. kin.,ds, regula:t.ed·, · i tsélf c.utomatically. It wa·s only after nearly a c~nt:yry. -i.n this wasii.e lan& 'of a:pologia tha t bourgeoig economie theory .begnl}. to c~:moern itself· :S:ériously agnin wi th :problems of economie gro·uth, a conc,e;rn. which gt.ew: · s.(i::fà'S't during the lnst two decedes tha t these, :problellJ.~,. CGl.Iilt?': :to : 3ccupy ·
onee-:~ âgF.i.n
the centre of bburgeoiseco~o~ic
speculation. · .. '., ..~ .. • .. . .. L -
; .-~-..
Three main factors contribut~.4 t_o .this developme·rit::.'._, :: ... · J- ,'1 .; ~ 1
,,:_,:'\~) ~a} f.I14.~ ·stlccessively deepenî'ng ecdnoniic crises - · particularly .; ,
· quring the inter-war
years -
·ta whicb the ··'capital\st.,ecpno~yj
.•.. . · .; ..
. . .·. '· '.. - .... i' . ··: ·.. •
... _, . . : .w~s .-e.x:posed and the :pre~occu:pntion of bourgeois ec!:momists. ~ .
... >'· .. ,.. •;wi.tl:;t.::·the :possibili:ty that thése crises migbt stretph .thef!ls~lyef!
~1;1t9
wbat wo..s usually cn1Îéd. ,i~ecular ~ta~natio~"•
•• • • ~ _j ~' • :· . . ~ '.:.
•·. (b) THé high rates of economie gro1-rth achieved ,by socialist · · -,. countries and the fec.r th& t, com:pared with. the rat~s of growth of og,pit~list econo-mies, the·ca.pitalist systemwill bedeci"' siveJ.y mor~üly -ex:posed and ec'onornically undermined .•
. . .. ;· . · .. (~ .
·'·.
REPRODUCTION/3;5.2.; _ Page 5.
(e) The awe.reness that newly liberateQ eountries, bent on aehievinc
; ' . . !
rapid ratos of growth, will sooner' or la ter turn towqrds so,eia-
·lism, and the
de~ire
to providethe~e
countries~oth
witb an~lteri'lêtive theoretical ~odel of growtb baseQ on_çapite.lism
. .· : .. r·. -·· .
and·witb. a convincing example that capitalism can do the jo?, 15ut ahHlYS wi tb: the a:Î.m of kee·ping those countries wi thin the
~ -· :.
:orbi t of imperitrlist influence end exploi tatien.
(5) It will 'thus be seen that, though recent pre-occupation of. modern bourgeois theory wi th pro,blems qf ec~nomic growth stems directly fro~ the wenknesses of the eapitolist economie system (its growing contradictions 9 its economie ineffieieney as comprcr~d vri th tpe demon..;..
. .
stro:tedperformanee of the soeialist system, o.nd i1ïs inability to prc>- vîde a soiution to the problems of deve19ping epuntries) yet the main
· .. ·
aim of such' theories remains to justify . and at . best to ·improve the workinc_
of the 'eàpitali~t 'system, that is, attempting to save it by introdueing eè-rtairi ~odif'iÔations on i ts work,ing while maintaining its essentic.ls.
This is evidenee·d by the fr.ct that, implici tly or explici tly, all suqh
r ,· •
theories pre-suppose a free enterprise market type of economy. As men- tioneQ _befpr~:''· i;he_y w<;)U_ld cease to be . bourgeois th.éorfe-s, anQ al together the9rie.s . of g:rowt]?.,. if' they diQ not opera te wi thin the general framework of capitalist so~ieti~s • . It is to be noted in this respect that, viewed in terms of our previous dt:;linitions, sorne so-called theories ttf growth ( e. g. Rostow) .. •: are in f act p§!l.. eude-theories of development niming explici tl;;-
.
ftr implieitly at providing an alternative .to the Marxist theory of socio- economic Qevelopment.
( 6) Ma;rxist P-oli tical Eoonomy, on t.he ether band, is ess~ntially a the ory of economie development €nd n.ot of ,..economie· gr6-.-~th. · I t also remained almost solely such a theory for almost a whole century, that is, until the esto.blishment of 2. developed system of socialist economy.
REPRODUCTION/382 Page 6.
-· ~,.
This does not mean thnt it completely neglected the growth aspect - in the sense defined above - of vnrious ~ocio-economic formations, and in particular of capitalism- a scientific tbeory of development can bardly do tbat. Nor does it mean tbat it does not contain the basic analytical tools from which a fully-fledged economie tbeory of growth, the theory of socialist economie growth, can be canstructed and elabo- rated. In fact,sucb analytical tools and concepts sucb ns the division of the economy into departments I and II, extensive extended reproduc- tion, the Law of the Economy of Time ••• etc? provide the required basis for such a tbeory. What tb~ opening sentence of the present parngrnph intends tc convey is the following1
(a) As the main task of Marxist political economy, unti~ the actual establishment of the first socialist economy, was tA lay bare the laws of motion of the capitalist economy and of its inevitable and pending transformation into a socialist economy, (that is with the course of development of tbnt economy) it can hardly be expected te concern itself primarily with problems of growth within the capi- talist society, since pre-occupation with growth implies, as we have seen, pre-occupation with optimization problems and always oontains a strong normative element. 1
1. Eric Habson writes in his introduction to Marx's Pre-Capitalist Economie Formations (Lawrence and Wishart, London,
1964;
P.17):
"Economie Development cannet be simplified down into "Economie Growth", still less into the variation of isolated Factors such as productivity or the rate of capital accumulation, in the way cf the modern vulgar economist who used to argue that growth is produced wben more, say, tban 5 percent of the national income is invested. It cannet be discussed except in terms of particu- lar historie epochs and particular social structures." He further adds in a footnote to the sn.me page that: "Marx was perfectly aware of the possibility of such simplifications, and, tbough he did not rate them as tao important, their use. Renee his sugges- tion that a study of the historie growtb of productivity mught be a vay of giY±né oonc :· sc.i.cn±:i..fic aignificance to Adam Smi tb 1 s Aperen on stagnant and progressive economies (Introduction to the Critique of Political Economy. I, I Werke, 6/8").
l&:;r·IlO.JUCTi ûH; 382 Page· 7~
(b) Equally, before actual establishment of a socialist economy, Marxist poli tical economy cannet be expected tc elabora tc a fully fledg.·· j;beory of socialist e~onot?ic gr,ow,th. L~:t that early state, ,such an
attempt wo:uld bave bad the nature _:· . . . i . ., l _; . . ' ; . . . ~ • . .of speculation . . l· . about ,p;r.. -' obl;em,_s. :not yet . ' . posed by life, bonço, (beypnd . th~ basic generalization~ r.~lé;t-l,:n.l!l to
:. . ·.: .. ·-.. ·- . '
tb.e nÇ~.ture of the econoil\iC .systot1 .. 9f socialism) lackip.g in scien-tific fo-unda tien..
( c) With the ·establish~ent of the economie system of . socia~ism,
. . ;
· .. ho~.revei-, ·a scientific theory of economie growth becomes not only possib-Le.·
., •• J
but a1so imperative. It becomes ·possible,' for the fiz:st _time, to estab- lish· ~uch
; a·
the~~~~ on a really scientific b~sis b~cause, as we have seen, a theory of economie growth - in contrast tc tpe theory of econo-, . .· ., .. . . ' ; . ' '·_,.' ' ' .; __
mie development.:. must · always con tain a strong normative element, that i,s,. ,ÇL set of evaluated desi4e.r,?-ta tc which tpe• economy:is made to con- form. . .And . .it i,s on~;r -unde:r condi tiens of socialism. that thl;l·se. e.valua tuû
desiçlera~a: •• •• ! • 1_ •' •• ' · •, \ •
•;• ... _;:
•, ~-· .. ,
_(1),~o?-n .concretely be .s<?ientific_all.Y deter!Jl~_l).eq., .. :. -~· ··::·.:
(2) c6.~ aciûally be àchieved
·. . . ~ -~· l .... ·.. . .', ~;
.·:·'
. ,.;.; J .-
~ - . . . .. . . J;n .. fact, -thèir ll'Îôrmative èharacter be·cothes ··one a:iid:'~the same a·s.-~the sci~ntifiè oharàctér of 'the-econ6mi6' go'aüi;'.~ich the: >SOcia-JList 1Sdc'iety ·:tends to re'ach..
Iri
-6'thër -~drd:S;; :t'he very same p~ocess of di~coverîrig the-;ohjéëti\re' ~-1dW's 'df1 è ·,·s:oc-icilist .develdpment:·and' always rèshcipirig th:e
edonorily
0lfnconformi ty wi th them not only abolishes the old dist'i;nc'tion - even juxtaposition -
. w'ith i t vah'l.~hes th~
?etween grow~h. and ,.deve\op.me,nt, but also
oid.
j~tapos:i ·Ùon betwe~~ positive science;;; ... :l .. ; (.: .r
elaboration of ..
such
a <the?~Y .
of'soci~li~{· ~conoiÙc grow~h ~s ipf:e~ative
aresc obviouS' às· to reqÜiré no fÜrther statement bere.
; .'. :,·.! ..
REPRODUCTION/382 Page 8.
·(7) Given the above characteristics of the theory of economie
· growth under socialism, · given also the fnct tbat the basic anéllytic·
tools and concepts of extended reproduction providé a suitable foun~ - tion for such a theory~ it seems immnterial to the present writer whether to call this extension of marxist political economy (which ~ bound to shift more and more in socialist countries to the centre oi the theoreticai investigation) the the ory of .s ocialist economie gror:-r;
Or merely Q development Of ll~c.rxist poli tic al economy to SUit the COL.c~. · tions ànd requirements of socie' list economie growth and development.
III. Developing Countries between Growth and Development Theor~es.
(8) The main drift of the-argument, so far, was that: whereas theories of economie growth are feasible· wi thin the framework of·· a given socio-economic formation and by reference to it, they acquire definite validity and full relevance only when they are elaborated wi thitl the conteic:t of a fully established sooialis t economy and gro·.
out of its developing conditions and re~uirements. For societies still wrung with the basic and antagonistic contradictions of class,.
where man is yet unable, through collective action, oonsoiously to reshape society and i ts economie, sytem in accordance with the objc·~
tive requirements of economie progress (for this, after all9 in the simplest of terms, is wha t c:, tbeory of economie grmJth is about) th.::
only fully relevant and valid theory is that of sooi~economic devel ..
ment.
(9) This conclusion applies - perhaps eve:t:l more s:trongly - also to soc'i.eties which are undergoing a period of transition. to socialis:.
·where the main 6nd immediate issue (given that sucoessful transition
' is the primary condition for future rapid growth) is not tha t of growth but of consolidating the power of the revolutionary classes, which are able to secure the candi tians for growth. This observatio···
/ REPRODUCTION/382 Page 9.
· should riot be construed as allowing revolutionary governments a sort
of license to disrégard at will the requirements of economie growth.
It simply draws atten~ion to the f act that revolutionary transition perioda - where two sets of laws, the one perte.ining. to the old .. , order and the ether to the emerging one, fight wi t}f o.ne. ano~her ,f()r supremacy and which moreuver, obey their own specifie laws relating to transition - such periods are V8ry special periods. Under certain circumstances, successful rovolutionary devolopment may run aide by side wi th the requirements of economie growth and each re]..nforce the ether, but under ether circurnstances they may run counter .to each . ether.
( 10) Develo:ping countries, even those ruled by regimes which set as their aim the movement towards socialism, are class societies~
Hence it ~s the theo~y of socio-economic development and not theor~es
of economie growth which should be applied to the analysis of condi- tions prevaiiing in these countries, and which should . . guide . the action
. .
• . • 1 .
of 'their progressive forces. Tnis is quite obvious as rege.rds the
. ·. . ,·. . ·. i" ·.·.
·bourgeois theory of economic.growth. Not only whatever validity.such theories may possess ..iG c.:x::troroo.ly :P~:i.a.l and limi ted ( since they ~re
: .. , ·· .. · ' : .
roo'ted in the condi tiens of the capi talist system and at best aim only at j, ts ,improvement) but also they a re pe,rt~cularly. unsui ted to the r
.
equirements of developing countries, since the imme:dia te ;task facing these countries - if. th,ey are at all to achiove a consü;tent and accelerated rate of growth - is tq by-pass or turn away .from the~ . . . .
capi tn.list mode of producticm. The dangers and ways of infiltrn. tion of bourseois theories of grow~b into dev:eloping countries l!lowever, have been sufficiently clarified in Dr. hab il. Breetzmann' s paper to this conference ( enti tlod Burgerliche Wttôhs~ûriisthë.?rié' ïfri<r''e'ry,ëitê:r-te Rep:roduktion _in EntWickiungslandern) so as to require no .. filrther ela-
.'. ·i
boration. It· needs only to be remar~ed· here that out
of
t.bè extensive~ . :~ .
wreck'
oi
l>Ourge'~is theorizing about gr awth, the poss;ibility f;lhOuld notREPRODUQTION/382 Page 10 • . ,
be exclud.ed. tbat sorne annlytical tool or the other may be salvaged whi·~·
could. be of sorne use in throwing sorne light on certain aspects of ocol~l'
mie growth o:r _9ven devt:lopment, always provid.ect t~at i~: can, fit witbin
'ï' - . :... -~· .. . -.
the ba~ic framew.ork of scient~fic theory about. et,ther. :
· {11} It
is
the éonnection 'b~tween :the'~th~ory Of' s~di~.list economi. growtb. and; d.e\reloped countrics tbai; n'8èds. to be dwel t upon" a 'little•• .• . . . • . . . 1 . .. . .[~ ~ ' • • • .
·&enger. Sinde in ·its turn ·i t is r'ooted in thé conditions and. pre-
.sttpposïtioris ·of sbcialist e'conomiC rela>tions, . thé temptn:Üon ·. sbould b0
strong1.y-resisted to · find.''
in
i t a sU:bstïtutè for rtbe p'os i~i~e
,.ànaiysis of s66io-éconèmic develcipment's in dèvèloping countries, even tbose whict. . . . : :·: . : · .
. âre fbllowi:ng ·a non:O:.:.capitalist'ro'B:d of developmënt, orto extend. itB
geriéraliia.ticins to 'those
coun:trie~,
in thebop~ - ~f contributüi~ t()
solvL the more immedio.tely economie (one might say tb& less socio-economic) problems of growth in .tbose countries • . Per cont~.éJ:, ~t ,.is leg~timate,even ~~~cess~~!;y; _to ar.g:ue ba.ck fr;m tb_e_ ~he ory of soc i~list economie, gro~r-t:_: i
not" iffi'me<liately to the gro.vitb problems of d.eve+oping cauntries,,.but to
the.
socid-ecÔno~-ic . c~ndi~ion~- ~f ·
-th()S.G latter.c.o.untri~~'
;n arder (sinCé:· a
tbeory of' socialisteco~orni,G
krorrthS~ts O~t
:the O;tima.con~it;i.011,6
- :· ,•. . ' '. . j ; .. 1 • ! . _!' • •• • • .• :.'' ••• •• .. • • • • • • ~ • : ' ,. • • • • ' - ~· •
. 'of 'grovitb 'and' thè realizable ways of a ttaining, tbe:m). to establ.ish ·'()..r
. -; . . ' f . . ,. ~: :. ·. , __ .. ·' ~ .: . . . . . _. : .... ·. ·... .. . . . . . .. <" ~: . . . . . •.. . . . ~-. -~
rather iii ord.er to re-set in a form both modern and adap,.te~ .to th.e:· çondi--
• • . . 1" i !. ·-· .. - ! . . . . . • . . . . ~ ' ' .. . . . .. -~-- . ' .
'ti.on~;· -~·:t êiè~~lop:ing co-Lmtri~? ~ _t~e econ()l!l~~ c
aspect of.t~~
a;rg}llllen.t . forthe nëêessa:r·y-· socio- economie changes which need. to be carr~~d out. ;
" . In· :other-.word.s'i ··the socialist 'thèory of econ.omic ·growth, tbougb
not imined±à. tely. appiiC:able to 6o~di ti ons . df. devel~ping countries' can
• • . • •• . • • • .. 1 .... _: ! • • ; -. • •.• : ; . . ' ; . ~' '
provide, 'in a modern sètting, à scientific and immediately graspable
- ,. , .... · .,_'· '. ' . y . ' . ) . '.
demonstraticn o.':f--•-the cont'r-adictl.ori betVI'eeil the prevailing relations of production
in ~developirig
èdtirifries·and the :potentia'1{1)forc~ ~s
of pro-duc.tion which-c'ould bé ·liberâ:ted tbere~·
Cf) ··
li'or an· êlab·o:r.ati.~on ·~·f the concept of Potential forces of prqductiorc _ an<;l i ts relevanoe: to developirig 'coimtries ,' see: ol.ir paper enti tled'-~ Special Poli t.ical E;conomy Fc:r Dev~loping: Countries?" . Hochsèhule
fùr
Okbnomie, Be:rl'in, April 1969. ( L 1Egypte C OJ!d:o.mporai.n~ No. 341July ~970).. .. - ..
REPRODUCTION/382 Page 11.
(12) This limitation on (and tho potcntialiti0s of) tho applica- tion of th0 tho ory of s ocialist economie grouth to devoloping countr~
cannet be too strongly str0ssod. Somotimos problems of dovoloping countrios are discussod as if tho la~ors, concepts and mochanisms ru- lating to economie growth in highly devoloped socialist countrios -v:c~
directly applicablo to them. Thus i t may happen tha t o conomic speci. ··
lists, cal,lod upon for advico or lecturing in developing countrios (particularly whon they are not dirüctly connected with the theoroti- cal study of conditions in dovoloping countries) and drawing on the present practico of thoir own socialist countries~ may speak of the use of priee mechanisme, of economie decentralization, of economie incentives, etc. as organizational factors contributing to economie growth, without being aware that in tho context of socio-economic conditions prevailing in dovcloping countries, it may well be exactly the opposite which needs to be stressed, not on socio-economic groundc relating to tho particular phase of social development in which
these countrios find themselves, but also on purely economie grounds immediately connected with growth requirements during that phase.
Many factors contribute to this tendency tm·mrds mistaken generali- zation, such as the young enthusiasm for the new discoveries of
socialist economie science, and the increasing specialization among economie scientists. But the qbief factor behind this tendency seems to be that fundamontal research, scientific precision, anQ clear elaboration and demarcation have not yot clarified certain important theoretical aspects relating to tho concept of "tho non-capitalist way of development". If tho deliberations of this conference help to bring about this clarification, it will have done a great service to economie science as well as to the cause of developing countries.
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