ABSTRACT
The state of the Yugoslav economy imperatively requires a long-term view of the various problems involved in the economic and social construction of the country. The problem of economic efficiency of investment is of great importance from the point of view of determining the tempo of enlarged reproduction and also from the viewpoint of achieving the most favorable results in economic development. The higher the degree of capital investment efficiency, the greater are the possibilities for the expansion of production on an enlarged scale. Long-term plans of economic development have induced socialist economists, too, to reflect upon the prospective movement of the rate of economic growth in the socialist economy. The general rate of economic growth determines both the volume and magnitude of all quantitative changes in the economy and it ultimately serves to define quantitative and qualitative targets of a long-term program. Technical progress is undoubtedly the most dynamic factor of economic development.
