Discussion on Part II

Abstract

Commenting on the paper, Professor Dasgupta noted that, instead of combining countries as they did, the authors could have classified the countries into different types of economies, i.e., those characterised by industrial-led growth into one group, those promoting both agricultural sector-led growth and industrial sector-led growth into another, and those with agricultural sector-led growth into another, and those with agricultural sector-led growth into a third. He asked if the authors had estimated an equity coefficient. He pointed out that the authors wrote about how equity helped produce agricultural growth, but did not write about how agricultural growth helped produce equity. Reductions in infant mortality and increases in levels of income were indicators of equitable growth. Their main conclusion that the greater the inequity of the income distribution the less the income-increasing effect will be was insufficient for policy purposes. Bruce has pointed out the importance of land reform in promoting growth and Mellor the importance of the demand for non-tradable commodities in increasing growth.