supplement to the 1989 Report on the World Social Situation to assist the Council in its consideration of the item on social development. The main finding of that supplement was, of course, that economic stagnation and decline during the 1980s in developing countries, particularly in Africa and Latin America, had set back social progress and reversed the positive trends of the three preceding decades. Of the 53 developing countries so affected, 27 were in Africa, 18 in Latin America and the Caribbean, 7 in West Asia and 1 in Asia. Despite the remarkable rise in living standards in the most populous developing countries during the 1980s, the total number of those livin~ in absolute poverty had increased to about 1 billion, or a fifth of the world's population, by the end of the decade. More than half of the I .. • E/1990/SR.S English Page 6 (Mr. Ahmed) world's poor were still to be found in Asia, and poverty had become more severe in Africa. It was a recognized fact that the deterioration of the external economic environment had been a major factor in the drastic declines in so many developing countries. Structural adjustment programmes undertaken to cope with that situation had had their own impact, particularly on social conditions, by slowing down growth in output and incomes, cutting government expenditures on social services and food subsidies, and generally hurting the poorest and most disadvantaged. The inevitable pain of structural adjustment might have been lessened if it had been attempted over a longer period, accompanied by economic growth and increased resource inflows, and if appropriate international support had cushioned some of the shocks generated by adverse terms of trade and interest rates; unfortunately, none of those conditions had obtained in recent years. There was ample evidence of the deterioration in living conditions and the aggravation of poverty in the 
**Analysis**
The text appears to focus on the economic and social implications of economic stagnation and decline in developing countries, particularly in Africa and Latin America, and the impact of structural adjustment programs on poverty and living conditions. It does not mention specific industries, natural resources, or environmental issues, but rather discusses the broader economic and social trends.

**Category**
Economic development, Employment, Health, Education