The Poverty of "Development Economics", second edition
195 pp., 6 x 9 in,
- Published: September 11, 2000
- Publisher: The MIT Press
- Rights: for sale only in the US and Canada
Deepak Lal outlines and assesses the validity of a set of beliefs about third world economic development that underlies the thinking of many politicians, bureaucrats, journalists, and academics in both developing and developed countries.
In this book Deepak Lal outlines and assesses the validity of a set of beliefs about third world economic development that underlies the thinking of many politicians, bureaucrats, journalists, and academics in both developing and developed countries. He describes the various elements of this "Dirigiste Dogma" and shows how it inevitably breeds corruption. According to Lal, only a market-based liberal economic order can solve the age-old problem of structural mass poverty. Its significant institutional bases include transparent financial systems and sufficiently deep financial markets to allow the hedging of foreign currency risk, and either a floating or rigidly fixed exchange rate.
For years, economic policy for development was based on an astonishing number of myths. This important book was among the first to explode those misconceptions, and to provide a realistic approach to development policy. It should be a 'must read' for all those interested in development, and especially those who still believe that governments with good intentions can'manage' an economy.
Anna Krueger, Professor of Humanities and Sciences, Economics Department, Stanford University, and Director, Center for Research on Economic Development and Policy Reform, Stanford University
A brilliant and provocative critique of orthodox development thinking, stressing trade and the market instead of government intervention as the way out of poverty for the Third World.
Ronald Findlay, Ragnar Nurkse Professor of Economics, Columbia University