Economic Conditions

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By Tony Killick

Half A - Nkrumah and his speedy Successors, 1960-72 1. advent 2. improvement, Disequilibrium and country Interventionism three. the commercial innovations of Nkrumah and his Successors four. household financial functionality within the Nineteen Sixties five. exterior functionality: The foreign currency Constraint and its factors 6. making plans, Saving and monetary administration 7. Modernization with out development eight. The Unbalanced development of Agriculture and nine. The nation as Entrepreneur 10. The country as Controller eleven. After Nkrumah: Interpretations of rules, 1966-72 12. classes half B - The list for the reason that 1972 thirteen. From Implosion to growth, 1972-2008 14. Structural switch 1970-2008 15. Forces for switch 1983-2008

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6 Three other attempts to explain the persistence of poverty deserve mention. ’7 Rostow stressed the ‘income-depressing forces’ at work at an early stage of development. The ‘central fact’ about traditional society, he wrote, ‘was that a ceiling existed on the level of attainable output per head. 9 The view of the level of investment as being strongly influenced by individual investors’ expectations of the future rate of growth of the economy, utilized by Leibenstein, has a long history and an unsavoury one for those of a laissez-faire persuasion.

16 Development Economics in Action The literature provided an almost unanimously negative answer. Nurkse’s attitude is particularly interesting, for he was a committed internationalist of a liberal mould of thought, whose pessimism about the practical possibilities of export-led development in low-income countries was formed despite his intellectual predilections. 14 The structure of production within the industrial countries, he believed, is shifting away from industries with large raw material inputs; the income elasticity of demand for many agricultural products is low; technological progress has achieved substantial economies in the use of material inputs and has made available many synthetics strongly competitive with primary products; the protectionism of industrial states aggravates these problems and also reduces the scope for the low-income countries to switch to the exportation of manufactures.

On 19 February 1972 the appellation ‘New’ was dropped from the official name of the currency unit, which is once more simply called the cedi (C/ ). This is the unit which has been used in this book. The abbreviation C/ has been used throughout to indicate the ‘new’ cedi; none of the statistics presented are in ‘old’ cedis. The cedi is made up of 100 pesewas, the minor unit of value. 98. 55. 28. Unless otherwise indicated, this is the exchange rate used in this book. Notes 1 As a British colony the country was known as the Gold Coast.

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