ABSTRACT
The private economy is composed of divers organizational forms that respond in radically different ways to a given stimulus or constraint. This chapter describes a simplified model of multisectoral interaction to explain and to suggest the importance of the interactions for a system of control. It focuses on the role of the political authority vis-a -visthe rate of technological advance in a multisectored economy. The chapter considers, very briefly and tentatively, the implications of the aforementioned tasks for the institutional organization, cognitive capabilities, and ideological understructure of the political authority in the United States. In the postwar years the old fears faded, and a new outlook and a different pattern of organizational behavior emerged. In the desperation produced by that catastrophe, governments unbalanced their budgets to counteract mass unemployment by augmenting the flow of aggregate national. The administration should be praised and credited for drastically phasing down the enormous annual research and development expenditures in aerospace and weaponry.
