ABSTRACT

According to Tanzania's philosophy, not only is the human being the center of economic development, but all human beings are equal and hence ultimately entitled to equal shares of the total domestic product. This chapter highlights the reciprocal relationship between economic development and income distribution in Tanzania. It discusses the facts that the basis for an equitable income distribution lies in socialist or common ownership, and that common ownership is the prerequisite for free development of productive forces and the economic growth on which income distribution depends. The chapter illustrates that economic development essentially means transformation of ownership relations for Tanzania. In Tanzania, as in other developing countries, the productive forces are not only underdeveloped but also unevenly distributed a fact which contributes to "technological dualism." Economic development in Tanzania, therefore, means much more than economic growth. It means the creation of an independent economy–independent of the advanced countries.