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J . TINBERGEN

THE HAGUE, 21 January,- 1955
S i j z e n l a a n k^
Dr Ashok Mitra.
Economic Division,
Ministry of Finance,
P. Block,
New Delhi

/

My dear Mitra.
After having answered only very fprovisionally your
letter of Decemoer 7>I did not yet find time to thank you
for the beautiful book on -modern Indian painting which
you were kind enough to send us, I want to do so now
very cordially,and I also thank you very fnuch for your
kind wishes for the ï<ew Year.
Although it is a pity that I have not been able to
see you by now, in a sense it has been useful for the
case of the underdeveloped countries that I stayed here,
for the last three or four months I was able to Dreoare
with a few of my colleagues the Dutch standpoint in the
Assembly. You may have seen that we were the only
"developed" country co-operating with the twenty underdeveloped countries in this Assembly, As a sequel I
have been nominated ad hoc expert in a committee of
eight that have to assist Mr Scheyven in reporting on
the methods to be used by SUIT?}©, I am going to New York
early in Jvlarch for about three wefeks, and hope to oe able
to do some useful services to this whole problem.
Later in the Year, in June, I am going to work at
the 3ank for a couple of weeks, in order to prepare an
advice they asked me on their method of priority
calculations.
Meanwhile we started at Rotterdam a new division of
the Netherlands Economic Institute of which I shall
send you a circular.
As to the judgment of investments for the sort run
I think the methods we used in this country, naaely
first of all to see to it that the expansion of production
is "harmonious" in that it follows the pattern of
demand to be expected, ^ö§g^ to rae the oest approach. I
think therefore you w e r e m your remarks on the Indian
textile industry. Therefore the only thing that I
think advisable is to investigate both your ijome market
and your export market, and to let investrüent be diversified and adapted to the increase in desaand you may
expect for the next five years or so. It goes without
saying, however, that special possibilities of exploiting natural resources not so far used may always
also be advisable. The representative of Israel told me
that they had much use of a general survey of unused
agricultural and other natural resources in that country.
You are q^uite right that there is the difficulty about
the measurement of capital, and of course one should have
replacement values in order to judge new investiaent possibilities.
Did you hear already from_Professor Polak about a
possible aseignraent with the i,il.P, ? Please, keep me informed on your chances in order that I may, if acute
difficulties arise, try to help you in another way.
With kindest re-mrds,
yours as ever.

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