Economics · Development Strategies
Consider the following statements comparing Balanced Growth and Unbalanced Growth strategies: (I) Balanced Growth requires synchronized investment across complementary sectors to create market demand. (II) Hirschman's Unbalanced Growth strategy prioritizes investment in sectors with high backward and forward linkages. (III) Both strategies agree that capital scarcity is overcome by identical planning mechanisms. (IV) Unbalanced Growth theory is designed to optimize limited decision-making and capital resources in developing countries. Which combination of statements is CORRECT?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1I, II, III and IV
- 2II and IV only
- 3I, II and IV only✓
- 4I and II only
Correct answer
I, II and IV only
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