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

SEMAINE D'ÉTUDE SUR LE ROLE DE L'ANALYSE ECONOMETRIQUE ETC. 685

ning from the strait-jacket of a fixed structure of inter-industry
relations, although it has been kept capable of being expanded
in such direction whenever needed, with reference to a specific
 point in time. The pattern of development has thereby
appeared in a much simpler and more natural way. The technical
 evolution of the system has emerged as determining the
pattern of costs and therefore of long-run prices, and the evotution
 of demand, in response to increases in per-capita income,
3s determining the proportions in which the single commodities
 must be produced. As a result, the solutions of the
system, in the form of time-paths of relative prices and quantities,
 and the over-all rate of growth have emerged as determined
 and unique; not from any complicated particular or
ad hoc requirement, but from the simple, common-sense action
of technology on the cost side and of consumers’ preferences
on the side of demand.

10] Pasinetti - pag. 115
            
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