Ebook: The Strategy of Economic Development

Hirschman revolted against the importation and application of conventional economic doctrinal prescriptions for economic development. Rather, he insisted that economic development should be analyzed on a case-by-case basis, exploiting indigenous resources and structures to achieve the desired results. Imposing a unifrom doctrinal structure, regardless of local circumstances, Hirschman argued, was a sure-fire recipe for disasterous development.

Developed and underdeveloped economies, Hirschman argued, had "hidden rationalities" and it is the job of the development economist to exploit these and harness development planning to them. Hirschman's "forward and backward linkages" concept has been one of the most used terms in economic development theory since.