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 spe- 
cific point in time. The pattern of development has thereby 
appeared in a much simpler and more natural way. The tech- 
nical evolution of the system has emerged as determining the 
pattern of costs and therefore of long-run prices, and the evo- 
tution of demand, in response to increases in per-capita income, 
3s determining the proportions in which the single commo- 
dities must be produced. As a result, the solutions of the 
system, in the form of time-paths of relative prices and quan- 
tities, and the over-all rate of growth have emerged as deter- 
mined 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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