Egypt since 1800 :a study in lop-sided development

Abstract

One of the main points at issue between economists from advanced and those from underdeveloped countries is the role of foreign trade in economic development. The former see in the expansion of foreign trade the main motive power of development, while the latter pin their hopes on ether sectors, notably manufacturing. Egypt' s economic development during the past century and a half conform to the general pattern describe d above but presents certain peculiarities which deserve attention. First, at the very beginning of this period, Egypt made an unsuccessful effort to leap from a subsistence economy directly to a complex economy. Following that failure, the transition from a subsistence to an export-oriented economy was consummated very swiftly. The passage from an export-oriented to a complex economy was greatly delayed, and has begun to gather momentum only in the last few years. This delay has resulted in the accumulation of severe difficulties· notably a rapid population growth, which are hampering the transition and may; perhaps be overcome only by extra-economic measures.