Journal Issue

Letters to the Editor

International Monetary Fund. External Relations Dept.
Published Date:
June 1975
  • ShareShare
Show Summary Details

World map


When coloring the world map on the cover pages of the March 1975 issue of Finance & Development the man with the brush seems to have been carried away a bit. With astonishment I noticed that (on the back page) Papua New Guinea, the British Solomon Islands Protectorate, Fiji and Western Samoa (all of them north - northeast of Australia) are colored as developed countries. However, all of these countries have per capita incomes not exceeding US$500 equivalent.

On the front page, I was surprised to find Spain to be shown as a developing country while Portugal, evidently with a notably lower per capita income than Spain was colored as a developed country.

  • Guenter H. Reif

  • World Bank

  • Washington, D.C.


Please allow me to draw your attention to the front cover of the current edition of Finance & Development (vol. 12, no. 1, March 1975).

In reference to the front cover map, Cuba has been placed in the category “developing countries.” On the other hand, the 1974 edition of World Bank Atlas classifies Cuba under the category “centrally planned economies” (see map on p. 8). Since “centrally planned economies,” as distinct from “developed countries” and “developing countries,” encompasses both developed and developing countries, the fact that Cuba is a developing country cannot preclude its inclusion.

  • Sang E. Lee

  • World Bank

  • Washington, D. C.

Editor’s note:

In our map we followed in general the categories used in “World Economic Indicators,” prepared in the World Bank. Under those categories Cuba is listed as a “centrally planned economy,” so our coloring was not consistent, and the error is regretted.

Any broad categorization is, however, inevitably going to result in some anomalies, arising from changing political boundaries that enclose varying economic regions and dependencies.

The three categories “developed,” “developing, “and” centrally planned” are themselves of course incommensurate with each other. On an income per capita basis, some centrally planned economies are no doubt “developed.”

Our reason for classifying Portugal as developed was explained in a footnote.

Ecuador’s point


In the March 1975 issue of your quarterly publication, there is an article by Mr. Bension Varon, Senior Economist in the Policy Planning Division of the Policy Planning and Program Review Department of the International Bank for Reconstruction and Development, dealing with the problems of the Law of the Sea.

In that article, reference is made by the author to the 200-mile limit issue, in which he makes the following statement: “…. Chile, México, Nicaragua, and Peru, by the same date, were claiming rights up to 200 miles away…..” As in my view, apart from excluding Ecuador and other countries - like Brazil, Uruguay, El Salvador which have also adopted the 200-mile territorial sea principle - the article does not reflect the true state of affairs, I would like to call your attention and that of the author to the following aspects:

The so called Santiago Declaration, signed by Ecuador, Chile and Peru, on August 18, 1952, established the exclusive rights and full sovereignty of those three countries to the stretch of 200 miles of the sea off their coasts, including the soil and subsoil, and in accordance with the geographical, biological, ecological, social and other factors relevant to each country.

As is well known, more than 13 countries have so far adopted the full sovereignty principle over the 200-miles of their territorial sea.

Also known is the fact that Ecuador has been exercising full sovereignty over its 200-mile territorial sea, and enforcing its rights against any violation by foreign vessels fishing within that area without the corresponding registration and fishing licenses granted by the proper Ecuadorean authorities.

  • José C. Cárdenas

  • Ambassador

  • Embassy of Ecuador

  • Washington, D.C.

Mr. Varon replies:

“I am grateful to the Ambassador for raising this issue. However, the countries named in the article were mentioned only for illustrative purposes. There was no intention to comment on the legal state of affairs by excluding Ecuador or any other country. “

Extra copies


I read with great interest Mr. Premchand’s article, “Budgetary Reforms in Developing Countries,” in the March issue of Finance & Development. I represent a project of the Division of Science and Technology Policies of UNESCO directed to development of techniques for special analysis of government expenditures on science and technology related to development objectives—an undertaking which seems in keeping with your recommendations for “immediate tasks.”

I would like very much to obtain 20 copies of this article for distribution to those connected with this project.

  • Gordon R. Chapman

  • Chapman Research Associates

  • 4136 Leland Street

  • Chevy Chase, Maryland 20015

The extra copies requested by you have been sent. We are always willing to supply a reasonable amount of extra copies for such projects.

Letters to the Editor should be addressed to the Editor, Finance & Development, IMF Building, Washington, D.C., 20431. Please be brief. The Editor reserves the right to edit letters for reasons of space and clarity.

PUBLICATIONS of the International Monetary Fund


Instruments of Monetary Policy in the United States: The Role of the Federal Reserve System. Ralph A. Young. 1973. US$1.25.

Membership and Nonmembership in the International Monetary Fund: A Study in International Law and Organization. Joseph Gold. 1974. US$10.00.

Voting and Decisions in the International Monetary Fund: An Essay on the Law and Practice of the Fund. Joseph Gold. 1972. US$6.50.

The Stand-By Arrangements of the International Monetary Fund: A Commentary on Their Formal, Legal, and Financial Aspects. Joseph Gold. 1970. US$4.00.

International Reserves: Needs and Availability. Proceedings, IMF Seminar. 1970. US$6.00.

Central Banking Legislation: A Collection of Central Bank, Monetary and Banking Laws. Hans Aufricht. Vol. II, Europe, 1967. US$10.00. (Vol. I is out of print.)

Surveys of African Economies

Vol. 1.Cameroon, Central African Republic, Chad, Congo (Brazzaville), and Gabon. 1968.
Vol. 2.Kenya, Tanzania, Uganda, and Somalia. 1969.
Vol. 3.Dahomey, Ivory Coast, Mauritania, Niger, Senegal, Togo, and Upper Volta. 1970.
Vol. 4.Democratic Republic of Congo (Zaïre), Malagasy Republic, Malawi, Mauritius, and Zambia. 1971.
Vol. 5.Botswana, Lesotho, Swaziland, Burundi, Equatorial Guinea, and Rwanda. 1973.
Vol. 6(in preparation). The Gambia, Ghana, Liberia, Nigeria, and Sierra Leone. English edition scheduled to appear in mid-1975.

Also published in French. US$5.00 a volume (US$2.50 a volume to university libraries, faculty members, and students).

The International Monetary Fund, 1945–1965: Twenty Years of International Monetary Cooperation. (3 vols.). J. Keith Horsefield and others. 1969. US$12.50 a set (US$5.00 a volume).

The Fund Agreement in the Courts. Joseph Gold. 1962. US$3.50.

International Monetary Problems, 1957–1963: Selected Speeches of Per Jacobsson. 1964. US$2.50.


Balance of Payments Yearbook. Monthly, loose-leaf, US$7.50 a volume; binder available for US$3.50. Annual, cloth-bound, US$6.00.

Direction of Trade. Monthly, with annual supplement. US$10.00 a year.

International Financial Statistics. Monthly, with annual supplement. US$20.00 a year.

Staff Papers. Three times a year. US$6.00 a year.

University libraries, faculty members, and students may obtain the four subscription publications listed above at the reduced rates of US$12.00 for the four publications or US$5.00 for International Financial Statistics and US$3.00 each for the other publications.

IMF Survey. 16 pages, twice monthly (once in December). Annual rates for delivery: US$5.00 in Canada, Mexico, and United States; US$10.00 in Central and South America; US$12.00 in all other areas.


Series from International Financial Statistics, from Direction of Trade, and from the Balance of Payments Yearbook are available on tape for computer users, at a price of US$1,000.00 a year for each title (US$300.00 to universities). Each subscription includes 12 monthly tapes and the book version.

Advice on payment in currencies other than the U.S. dollar will be given upon receipt of order. Airmail subscription rates are available upon request. Address inquiries to The Secretary, International Monetary Fund, Washington, D.C. 20431, U.S.A.


The Future for Hard Fibers and Competition from Syntheticsby Enzo R. Grilli

Provides basic information and an outline of the Informal Agreement on Hard Fibers. Examines the uncertain future of hard fibers and makes suggestions for an adjustment policy, including research to reduce production and find new uses. Gives detailed demand, supply, trade forecasts to 1980.

English only, xii + 108 pp., 3 annexes, bibliography, $5 (paper).

Prospects for Partnership—Industrialization and Trade Policies in the 1970s,

Edited by Helen Hughes

Papers presented and summary of discussions at a seminar of international economists at the World Bank, October 1972, focusing on the demand aspects and trade adjustment problems inherent in the increasing volume of manufactured product exports from developing countries.

English (and Spanish from Editorial Tecnos, Madrid), $12 (cloth), $3.50 (paper).

Yugoslavia: Development with Decentralization

by Vinod Dubey, et al.

Explores an economic system characterized by social ownership and control of the production means, with workers’ self-management and decentralization of political and economic decisions. Evaluates the country’s pragmatic and dynamic approach to economic problems and its general commitment to an open market-oriented economy, improved efficiency of domestic industry and higher living standards.

English only, xiv + 492 pp., map, statistical annex, index, $18.50 (cloth), $8.50 (paper).

The Assault on World Poverty—Problems of Rural Development, Education and Health

A compilation of sector policy papers on rural development, agricultural credit, land reform, education and health, attempting to analyze the causes of poverty, to examine ways in which it can be alleviated, and to outline programs for World Bank assistance.

English only, xiv + 425pp., $17.50 (cloth), $5.95 (paper).

Order from The Johns Hopkins University Press, Baltimore, Maryland 21218, U.S.A. or their Export Sales Representatives

The United Kingdom, Continental Europe, the Near East and Middle East, Africa

IBEG Ltd., 2–4 Brook Street, London W1Y-1AA, England


The Copp Clark Publishing Company, 517 Wellington Street West, Toronto MSV-1G1, Ontario, Canada

Central America, South America, Caribbean (exclusive of Mexico, including Puerto Rico), India, Pakistan

Kaiman and Polon, Inc., 456 Sylvan Avenue, Englewood Cliffs, New Jersey 07632 U.S.A.


Centro Interamericano de Libros Académicos (CILA), 31 Sullivan-Bis, Mexico 4, D.F.

THROUGHOUT THE REST OF THE WORLD, orders may be sent directly to The Johns Hopkins University Press, Baltimore, Maryland 21218 or they may be placed with the following distributors:

Australia, New Zealand, Southeast Asia

Australia and New Zealand Book Company Pty. Ltd., P.O. Box 459, Brookvale, N.S.W. 2100, Australia.


United Publishers Services Ltd., Shimura Building, 4–1 Kojimachi, Chiyoda-ku, Tokyo, Japan

Other Resources Citing This Publication