1186 PONTITICIAE ACADEMIAE SCIENTIARVM SCRIPTA VARIA - Z°

an underdeveloped country. I see a great danger here. On the
other hand, there are very important questions, some of which have
been raised by Mr. JoHNSON, about how the econometricians in
advanced countries can help the underdeveloped countries. This is
a question of vital importance, not only for the underdeveloped
countries, but also in the enlightened self-interest of the advanced
countries.

KOOPMANS

A brief question — in these elasticity estimates, does food include
the tin can and the tip to the waiter, or not?

JOHNSON

What I talked about was food at the farm-gate level

KOOPMANS

The other question is about the need for these projections — so
to say the marginal productivity of improvements in the accuracy
of the projection. What decisions do depend very much on having
accurate projections and what harm is done if projections are inaccurate?
 If no great harm is done it is a nice purpose just the same
to improve accuracy, but it wouldn’t rank- with as high a priority
in econometric work

JOHNSON

I think this is a very pertinent and relevant question and I
would try to answer it in terms of the difference in plans in the
planned and the essentially free-market countries. I think that in-"167

 Johnson - pag. 46