1184 PONTIFICIAE ACADEMIAE SCIENTIARVM SCRIPTA VARIA
shipping of both raw jute and manufacture and changes in stock
in the hands of jute mills; the production and utilization figures
were in agreement within a margin of about 2 per cent. Although
such an objective method can be used, the so-called « official »
estimates of foodgrains in India are based on the perfectionist theory
of figures being obtained for every field in the village; because this
is a so-called complete enumeration, and because such a system
has been in use for centuries, therefore it has high legal status like
custom immemorial; and also no independent check should be per-
mitted, because it would be confusing if the results of such a check
differed from the official estimate. So the point stated by Mr.
JOHNSON is well taken and extremely important. It also raises the
question whether a lot of sophisticated acrobatics on econometrics
on the basis of such unreliable statistics in the underdeveloped coun-
‘ries would not be a complete waste of scarce resources.
I entirely agree that without progress of agricultural output no
rapid economic development is possible. I do not clearly understand
the last paragraph at the end of page 37 «I do not believe that
projections that can now be made possess the necessary degree of
accuracy to make it feasible to rely upon detailed planning procedures
which largely supplant the operation of the market ». I understand
what this sentence means, but on the other hand, I take it that the
next paragraph is making out a case for State intervention. I find
a little gap here. Can you always leave it to market operation as
such in an underdeveloped country? I should strongly differ. In
my own country in 1943, during the war, because of that particular
doctrine (I may mention that the Economic Adviser of Government
at that time was Dr. GREGORY, the author of a standard book on the
Gold Standard) there was no attempt at any control or rationing of
foodgrains with the result that a famine broke out in Bengal. An
official commission appointed by the British Government found that
ome and a quarter million people had died directly from famine,
which is about twice the total casualties of the U.S.A. and U.K.
taken together during the Second World War. This happened.
Therefore, I do believe that government intervention is essential but
should be a minimum.
16] Johnson - pag. 44