Introduction

This chapter focuses on Gottfried Haberler’s contributions to economic policy analysis, both as recognition and to make bis contributions more easily available for readers interested in international and macroeconomic policy. Haberler was unquestionably one of the great economists of the twentieth century. Both the quality and breadth of bis contributions are exceptional. His work contributes importantly to our understanding of international trade theory and policy, domestic and international monetary and macro economics, and the international trade aspects of economic development. On development policy issues, Haberler was a firm critic of the views of those who were extremely pessimistic about the development prospects of low income economies and argued that a special economics needed to be developed for the analysis of these economies. The demonstration effect shows an unbecoming and unjustified patronizing attitude toward the “natives” on the part of development economists from abroad and their disciples in the developing countries.