ABSTRACT
This chapter examines two aspects of the technology-income relationship: the nature of the intermediate technology alternative and the potential of that alternative, as suggested in experimentation within three developing nations, for income growth and equalization within poor nations. A major policy objective of most governments of developing nations is a significant rise in the income levels of their citizens. As early as 1960, Quaker and Mennonite service and relief organizations were exporting modest amounts of intermediate technology to third-world development projects. The intermediate technology model assumes that production of work places, at least in the third world, is central to a resolution of the problems of underproduction, income maldistribution, and underutilization of labor. The Chinese use of intermediate technology is perhaps most evident in agricultural production. The Chinese commune is designed as a self-sustaining unit, generating all fixed-capital inputs to production.
