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Beyond Planning and Mercantilism: An Evaluation of Pakistan’s Growth Strategy

Listed author(s):
  • Nadeem Ul Haque

    (Pakistan Institute of Development Economics, Islamabad.)

Through the nineties Pakistan remained preoccupied with crisis management. All debate and policy was, as a result, involved with current policy and our coping with the IMF programmes. Adjustment was the main theme leaving little room for growth initiatives.1 A lively debate has raged on the distributional impacts of adjustment policy on which the government and the thinking community have adopted opposing stances, often with much emotion. With this focus of economic and political discussion on critiquing of the current government and its policies, there has been little effort put in understanding and reviewing the country’s growth strategy. This paper attempts to assess the evolution of Pakistan’s long-term growth strategy.2 It is my contention that the growth strategy remains inertia-ridden because of the lack of an academic community and debate.3 The paper will also attempt to identify the actors who influence and shape this strategy. This will be followed by what changes should be made in that strategy, based on more recent developments in economic thinking and experience in the world. For long-run sustained growth that will lead us to join the club of the more advanced countries, a new strategy based on the latest research findings will be needed. Finally, I shall point to the factors that impede the adoption of such a strategy, and especially to our owning such a strategy.

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Article provided by Pakistan Institute of Development Economics in its journal The Pakistan Development Review.

Volume (Year): 45 (2006)
Issue (Month): 1 ()
Pages: 3-48

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Handle: RePEc:pid:journl:v:45:y:2006:i:1:p:3-48
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  1. Ross Levine, 1990. "Financial structure and economic development," International Finance Discussion Papers 381, Board of Governors of the Federal Reserve System (U.S.).
  2. Nadeem Ul Haque, 1998. "Issues in the Designing of Public Sector Reform," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(4), pages 299-327.
  3. Nadeem Ul Haque & Mahmood Hasan Khan, 1998. "The Economics Profession in Pakistan: A Historical Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(4), pages 431-452.
  4. Daron Acemoglu & Simon Johnson & James Robinson, 2004. "Institutions as the Fundamental Cause of Long-Run Growth," NBER Working Papers 10481, National Bureau of Economic Research, Inc.
  5. Deepak Lal, 1993. "Poverty and Development," UCLA Economics Working Papers 707, UCLA Department of Economics.
  6. McCloskey, Donald N., 1991. "The Prudent Peasant: New Findings on Open Fields," The Journal of Economic History, Cambridge University Press, vol. 51(02), pages 343-355, June.
  7. Gustav Ranis, 2004. "The Evolution of Development Thinking: Theory and Policy," Working Papers 886, Economic Growth Center, Yale University.
  8. Acemoglu, Daron & Johnson, Simon & Robinson, James A., 2005. "Institutions as a Fundamental Cause of Long-Run Growth," Handbook of Economic Growth,in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 6, pages 385-472 Elsevier.
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