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In this paper, we report on one exercise of this type: a set of tentative estimates of the economic impact of infant malnutrition in Santiago, Chile. The approach is quite exploratory and reflects limitations both of data and of previous economic analysis of malnutrition problems. However, we can (and do) draw on the considerable body of "technological" information that has been gathered by nutritionists on the effects of malnutrition on child development. We accept these results as definite and base our estimates of benefits on them, in much the same way as an economist evaluating a steel mill accepts an engineer's figures on the amounts of iron, limestone, and coke necessary to produce a ton of final output. [ABSTRACT FROM AUTHOR]

This article reports on attempts to estimate sectoral real physical capital investment functions from timeseries data for the developing economy of postwar Chile. In this article, the models of real physical capital investment behavior are utilized and presented. This models, both putty-putty and putty-clay, are explored in this article and the putty-putty models are further subdivided into two alternatives. The result in obtaining the estimates of real physical capital sectoral investment behavior in postwar Chile are discussed.

In analysis of and policy recommendations for developing economies, frequently the assumptions are made that the degree of capacity utilization is not an important consideration and that short-run flexibility is extremely limited. These assumptions are examined in the case of the postwar experience of nine sectors of the Chilean economy. The basic conclusion of this examination is that considerable short-run flexibility does exist in the Chilean economy; therefore, the frequently assumed rigidities lead to a too narrow set of policy alternatives. Not insignificant benefits may be gained from anticyclical policies, and there may be a high payoff to policies which improve the functioning of markets. [ABSTRACT FROM AUTHOR]