Open AccessJournal Article
The structuralist approach to development policy
TLDR
In this article, the authors examined and compared structuralist methodology and development policy and compared to other major development policy approaches, and concluded that changes in the world economy have complicated the task of development, and most economies are suffering from serious structural disequilibria.Abstract:
Structuralist methodology and development policy are examined and compared to other major development policy approaches. The structuralist approach focuses on various types of structural disequilibria. In domestic policy, this approach can be used to examine the effects of surplus labor on resource allocation; in international policy, it focuses on the balance of payments. One problem with structuralist policy is that, in ignoring the advantages of market adjustments, policy prescriptions place too much weight on the limited administrative apparatus of developing countries. This is a major limitation to development that could be countered by not attempting excessive fine tuning of development policy. Complex policies may prove more costly to implement than less efficient but simpler programs. It is concluded that changes in the world economy have complicated the task of development, and that most economies are suffering from serious structural disequilibria. Finally, the goal of giving greater weight in development policy to distributional considerations cannot be achieved without giving equal priority to adjustments in external trade and capital flows.read more
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References
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Economic Development with Unlimited Supplies of Labour
TL;DR: In this article, the authors present a different framework for solving problems of distribution accumulation and growth first in a closed and then in an open economy, where the assumption of an unlimited labor supply is used.
Book ChapterDOI
The Distribution of Gains between Investing and Borrowing Countries
TL;DR: This paper showed that fluctuations in the volume and value of foreign trade tend to be proportionately more violent in trade of underdeveloped countries and therefore a fortiori also more important in relation to national income.