Mehboob-ul-Haq Phase-I

Current priority of development is economic growth and once occurs it’ll trickles down. So this theory suggest to put all efforts in increasing the wealth while all of the other considerations like balanced income distribution or human development will be achieved automatically. It’s the standard paradigm that is being followed all over the world. Mehboob-ul-Haq implemented this standard economic theory of development in Pakistan in 1960’s and still remain the standard to this day. After implementing this economic theory Mehboob-ul-Haq analyzed the benefactors of this theory and he came out with result that these policies cause growth but all fruits of growth went to only 22 families. Same thing happened in Russia when IMF and WB implemented growth oriented policies. After the shock therapy in Russia by Sachs millions of people couldn’t afford to eat but few billionaires were created. Same result emerged in Chile under General Pinochet when Milton Friedman implemented growth oriented policies and country became unequal in terms of income distribution.