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

883

In this latter case, a growth in new savings could have
major beneficial effects. They would however be due not to
the inadequate volume of savings which had been accumulated
in the past, but to their defective utilisation in the form of
economically erroneous investments.
In a situation of this kind, it is not the global volume of
accumulated savings which is at issue, but its use in the form
of non-productive investments. Thus inefficient management
vather than insufficient capital intensity must be considered
as providing the explanation of unduly low average productivity
 (1).
[t is thus clear that the important factor is not so much
the volume of accumulated savings evaluated in terms of the
number of years national income it represents — which does
not vary greatly from one country to another, even including
underdeveloped countries - but the use that these savings
are put fo

(!) See my book: A United Europe, the Road to Prosperity (CALMANN-LÉvy,
 1960), Chap. II, pp. 28 to 38 and 42 to 51 and Appendix € ‘ac:
to 207)

Allais - pag. 187