ABSTRACT
in the literature on the economics of underdeveloped countries it is frequently asserted that many of their misfortunes stem from economic dependence upon the rich industrial nations. The close links which are forged between their economies and those of the rich countries, it is suggested, make them extremely susceptible to the cyclical instability of their industrial trading partners. Even fairly mild changes in activity in the rich industrial countries are supposed to have a greatly magnified effect upon the stability and growth of their dependent partners.
