chapter  12
30 Pages

Economic Development in the Developing and Transitional Economies

A recurring theme of this book has been societies * responses to the timeless-universal problem of economic scarcity. We have seen how the more traditional societies may be inert, accepting a static economic order and a low material level, whereas the modern, highly industrialized societies, with institutions designed for economic growth, are challenging the ob­ stacle of limited resources and economic goods. Bridging the two kinds of societies is the process of economic growth and development, entailing problems that the less developed societies of our age must face if they are to break out of their traditional modes. The former socialist economies of Eastern Europe face similar problems as they attempt to adopt a market system. This chapter leaves our American economy to analyze more gener­ ally both the process of economic development and its problems.