Since more than a century the capitalist west tries to combat the poverty in the Third World. The present column discusses several economic theories, which make suggestions for an effective development policy. First, the dualism of J.H. Boeke is described. Next, the proposals of the planning committee of the United Nations, chaired by Jan Tinbergen, are studied. This is concluded with a retrospection in 1992, mainly by H.W. Singer. As a complement, the views of the then Novib director M. van den Berg are summarized. And an impression is given of the operational methods of private aid organizations .... Read more
08-11-2019: The importance of innovation
Author: E.A. Bakkum
In the previous columns it has been tried to analyze the interaction between innovation and economic growth. Innovation is a difficult and ill-understood phenomenon. The present column presents a survey of some common ideas about innovation and R&D. It starts with a historical review, and then describes the actual scientific ideas. The view of the original social-democracy is also discussed. Finally, a simple mathematical model of research and development is presented .... Read more
01-11-2019: Experiences with economic planning
Author: E.A. Bakkum
Many columns of the Heterodox Gazette address the theory of the economic planning. In theory the planning in capitalism is an adequate alternative for market operations. Thus the question arises how good planning has performed in practice, in comparison with pure market economies. The present column evaluates the plan-policy in France by means of a comparison with the ordoliberalism in West-Germany. First the policy in both states is sketched for the period 1950-1970. Next the developments of the economic growth in both neighbours is analyzed .... Read more
20-10-2019: Limitations on the demand side policy
Author: E.A. Bakkum
Since the seventies of the last century the demand side policy has lost much of its popularity. The present column sketches the developments of the political debate at the time. For this purpose, first the views of the then leading persons Den Uyl, Lubbers, Kok, and Wagner are analyzed. Next the rise of the new theoretical ideas are sketched. The demand side policy bases on the Phillips curve. The economists Friedman and Lucas doubt its validity, and stress the importance of the adapting and rational expectations .... Read more
29-08-2019: Social-democratic views on the general interest (3)
Author: E.A. Bakkum
During the preceding months two columns about the social-democratic views on the general interest have appeared. They allow the social-democracy to translate the collective well-being into a political target- or policy-function. However, in the course of time this view has changed considerably, The present column describes the views of six leaders from the most recent decades, namely Hans van den Doel, Helmut Schmidt, François Mitterrand, Paul Kalma, Femke Halsema, and Gerhard Schröder. They clearly illustrate the rise of the Third way ideology .... Read more