Full text: Study week on the econometric approach to development planning

SEMAINE D'ÉTUDE SUR LE ROLE DE L’ANALYSE ECONOMETRIQUE ETC. 1041 
VARIABLES 
Gross National Product (do- 
mestically produced) 
Productive investment (total) 
Capital transfer from Deve- 
loped to Underdeveloped 
Areas . . . 
Developed 
Areas 
+, 7 
T 4 
Eglv 
Underdeveloped 
Areas 
\ 
N 
vy 
14 
Growth rate of the domestic- 
ally produced Gross Na 
tional Produc! 
a) 
“ 
J 
The value of these seven variables given (that is, observed 
or assigned) for the year 1959 constitutes the empirical basis of 
a series of alternative projections of the economic growth of 
both groups of countries over the ten year period ending at 
taba 
DEVELOPED AREAS 
The following theoretical relationships are used to derive, 
and to solve, the equations describing the growth of the De- 
veloped Areas: 
Savine Function: 
I 
Li) =4Y,, 
, represents the fraction of the GNP allocated to invest: 
ment 
13) Leontief - pag. 3
	        
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