INVESTMENT ON POOR 19 7 MarxfEngels-Werke'. Das Kapital, Erster Band, Berlin, 1962, Chapter 23. 8 Eric Hobsbawm, "La marginalidad social en la historia de la industrializacion curopa'*, Revista Latinamericana de Sociologia, No 2, 1969, pp 237-247. 9 Jose Nun, "Superpoblacion relativa ejercito industrial de reserva y masa marginal", Revista Latinamericana de Sociologia, No 2, 1969, pp 178-236; Anibal Quijano, "Mar-ginaler Pol de Wirtschaft und marginalisierte Arbeitskraft", in Dieter Senghaas (hrsg), Peripherer Kapitalismus, Frankfurt, 1974, pp 298-341. 10 For a more precise application of the concept of marginal subsumption, see Veronica Bennholdt-Thomsen, "Los campesinos de las relaciones de production del capitalismo periferico", Historia v sociedady No 10, 1976, Mexiko, pp 29-38. 11 Samir Amin, Die ungleiche Entwicklung, Hamburg, 1975; Dieter Senghaas, Weltwirts" chaftsordnung und Entwicklungspolitik, Pladoyer fur Dissoziation, Frankfurt, 1977. 12 H P NeuhofT shows in his article, "Pladoyer fur einen arbeitsorientierten Entwick- lungsweg" (1977), that such considerations need not be limited to an abstract and general level; they can be translated into development strategies. u McNamara's June 1976 speech, p 14; Folker Frobel, Jurgen Heinrichs und Otto Kreye, Die none Internationale Arbeitsteilung, Reinbek bei Hamburg, 1977, pp 312, 382, 384. 14 Andre Gunder Frank, "Weltkrise und Unterentwicklung", IAB, Jg 1, No I, Mat 1977, Hannover, pp 13-30; Frobel, Heinrichs and Kreye, Ibid, p 574. 15 Edgar Furst, Christina Gebhardt und Abbrecht Koschiitzke, "Die Geschichte vom IWF und den Massen: Der Fall [Peru 1977", Lateinamerika, Analysen und Berichte 2, Berlin, 1978, pp 141-164. 16 "The truth is, of course, that these policy actions are in the larger interest of both the developed and developing nations. The increased imports from the developing countries would be matched by increased exports from the developed countries. Thus the expanded trade would benefit both consumers and producers in the industrialized countries, and would expand incomes in the less-advantaged countries." 17 In my opinion, there can hardly be any broader programmes in non-agricultural sectors. It is the special conditions of agricultural production which make such programmes economically desirable and useful. Land is not a means of production but necessary precondition for production which is limited by nature. This brings with it various consequences which modify the capitalist laws in agricultural production as against the manufacturing industry: a) It means that land is not produceable and also cannot be increased or sold as one pleases. The effective mechanisms for competition here are different from that in the manufacturing industry. Most important is that it is not in the interest of the industrial capital if landownership is concentrated in a few hands, since this can lead to a monopolist increase in the cost of foodstuffs. It is against this background that land reform programme is to be understood. b) Land shapes the technological development of the means of production for agriculture, insofar as total mechanization and machineries with large capacity are opposed by particular difficulties set up by nature. c) Of special importance to the World Bank programme is the fact that land need not be calculated as a cost since it is either already in the peasants' ownership or allocated through land distribution by the national government. The following statement from McNamara is to be understood also fro-n this point of view: "To the extent that the poor possess some tangible assets, however meagre—a small farm, a cottage industry, or a small-scale commercial operation in the urban sector—it is possible to help them to become more productive through better access to credit, extension assistance and production inputs". The other point is that only agricultural production allows a certain flexibility in the renumeration of labour power. This is rrost important here since the