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

1034 PONTIFICIAE ACADEMIAE SCIENTIARVM SCRIPTA VARIA -

completely different. In fact, who will decide? The Central Planning
 Bureau? But if the people of the different regions are not
represented in this Central Planning Bureau, what will happen? I
will give only one example. In the different Western countries, we
have a tariff policy, and the effect of this tariff policy is that in
these countries the peripheral regions alone support the burden of
this policy. For instance in my own country, Brittany is bearing
the cost of protecting the french coal mines, and in Canada, it is in
the main the Province of Quebec which supports the Canadian
tariff policy of Canada and so on. So, in my opinion, it is impossible
 to treat these two problems, investment on the one hand
and policy for each region on the other in the same wav.

FriscH

I am sorry that my explanation must have been too brief, because
 Prof. ArLrars has completely misundertood what I meant to
say. When I spoke about analogy with investments selection in a
big list of projects, I was only referring to the formal construction
of what we are going to take as a pattern of centres. There may
be many alternative patterns of centres, or there may be many
investment projects in our list of projects,
I did not speak at all about how the decision of powers is to
be distributed. We have to use this big list of alternatives of centres,
 and out of those make a choice. The choice is to be studied by
mathematical programming.

ALLAIS

Again there is a great difference but I do not think we can
discuss the auestion now.

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