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Accordingly where does the danger lie in the development of a smali nation’s economy? It lies in the enclosing of the entire economy into regional units following the example of parts of that economy which can successfully do so, which means seeking optimal independ-ence and autarch on the level of a technically weakly developed economy. (Such as, for instance, tourism which some limited economists like to paradę.) Naturally, some of the defenders of the policy of en-closure in one’s national boundaries stress the possibility of coopera-tion with morę developed economies outside of Yugoslavia (namelv -with strong industrial corporations), which we know give their part-ners fuli licenses or that level of technological development that can-not be competitively dangerous. The suggestions of the foreign Capital in our country are often well received. It is not necessary to provc that such »independence« would mean the continuation of dependence on foreign Capital: i. e. returning to the situation of pre-war Yugo-slavia. There is no doubt that the only healthy developmental altern-ative for a smali nation is to find the optimal developmental possibil-ities for the technologically well developed branches of the economy (not all of them can be well developed, it is necessary to create prior-ities for the morę dynamie or propulsive branches), expanding accross the boundaries of national economy, first in the area where there al-ready exists a common market, that is - in Yugoslavia, but also outside of Yugoslavia, that is by integration into the European economy: that is, integration where it is of a technological naturę and not by selling our smali difuse capacities.

I stress this because it is the problem of highly educated cadres and of scientific technological policy in generał, which I consider of the greatest importance in the development of smali nations. The Western European nations which used to be the »Great Powers« - Germany, France, Italy have realized that they are too smali in spite of the fact that they have fifty to seventy million inhabitants, each of them real-izes as far as the development of the most modern industries is con-cerned as well as the liberation of economic potentials for the technologically most significant and most developed enterprises (for instance, the production of computers which is a monopoly of the U. S. A.) that they have to undertake certain measures to intergrate their economies. This problem is in greater relief in the case of smali nations who simultaneously want to keep a ccrtain independence of their economies. This problem is in greater relief in the case of smali temporary economic and scientific development. They cannot forsakc such ambitions, in as much as they do not want the most gifted and talented cadres to leave the country because they do not have the pos-sibilities for personal advancement. Regarding one’s self as a provincc or appendix of morę developed economies means openly admitting to your best minds that the doors are open for them to go to the stronger and morę developed who anyway are the stimulators of our develop-ment - our masters!

So that we might be able to retain our best and most gifted cadres in smali nations we must blaze the trail for a healthy developmental economic and social policy, establish which are the most dynamie in-

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