andcapital flowsandthepatterns ofcomparative advantage. Analysis and experience inthatfieldwillhelpprovide thebasisforappropriate policy recommendations. 12.7Newinstitutions andchanges inattitudes, aswellastherapidevolution of telecommunications, willconsiderably affectthepaceofsocial development. At thesametime,theprocess ofstructural changes andadjustment inalleconomies willhaveprofound effects onthesocialsituation. Thedeterioration insocial conditions indeveloping countries thattookplaceduring the1980swillneedtobe arrested andreversed. Thereisanactivesearchfornewparadigms ofdevelopment andgovernance inanumberofcountries inEastern Europe. Changes infundamental socialinstitutions indeveloped market economy countries havebrought tothe forefront newexpectations regarding social development activities. Inthe1990s, thecritical roleofthedevelopment ofhumanresources inthesocio-economic development process willbere-examined toseekmoreintegrated approaches toall aspects ofhumanresources development, anessential pre-condition fordevelopment andtheultimate aimofdevelopment. Furthermore, newdiseases suchasAIDS,new patterns ofdisease indeveloping countries aspopulations growolder, andtheneed foreliminating illiteracy andforreviewing thecontent ofeducation inaperiod ofsocial advances intechnology willbeamongthemajorsocialchallenges inthe 1990s. Newapproaches toredress theseverity ofproblems ofpoverty, malnutrition, inadequate housing andsanitary facilities willbeimportant considerations inthesocialpolicies ofmanycountries, inparticular, developing countries. Policies toreducegrossinequalities inconditions ofwell-being, in accesstoservices andinopportunities forbetterment ofallgroups, partiCUlarly thosethathavebeendisadvantaged, willcontinue tobeofsignificance inthe 1990s. Policies forsocial development willcontinue tocompete forlimited resources, bothdomestic andforeign, especially giventheserious constraints reSUlting fromthedebtcrisis. Itisexpected thatsomereliefinthesocial sector maybebrought aboutbythetrendtoreallocate resources fromdisarmament tothesocialareas. 12.8Political andeconomic changes ofhistorical scopeareoccurring incountries thathavebeguntoundertake atransition fromcentral planning toagreater reliance ondecentralized economic decision-making andhavesoughtgreater integration intherestoftheworldeconomy. -4-12.9Globalenvironmental concerns claimincreasing attention asitisrealized thatbothaffluence andpoverty contribute tothedestruction oftheconditions of survival forfuturegenerations. Lifestyles, consumption levels andtechnologies inindustrial countries havebeenrecognized asunsustainable, oftenintermsof theenvironmental destruction theyhavealready occasioned, andcertainly interms oftheconsequences oftheirworld-wide adoption. Similarly, thedevastating effects ontheenvironment ofpatterns ofproduction inmanyofthepoorest countries arerecognized asincompatible withtheirfuturedevelopment needs. 12.10 Theratesofsavings andofgrowthofcapital formation appeartohave slowed downinallregions oftheworldinthe1980s. Policies willneedtobe developed andimplemented atthenational andinternational levelsthatencourage savings andcapital formation andthatprovide substantially increased flowof capital todeveloping countries ontermsandconditions thatareinconsonance with theirneedforsustained growth anddevelopment. 12.11Inrecentdecades, thedeveloping countries havemadesignificant advances inexpanding andenhancing theirtechnical andinstitutional capacity toplanand managetheireconomic andsocialdevelopment. However, particularly inrecent years,thosesamedeveloping countries haveexperienced serious constraints onthe resources available tothemfordevelopment, whichhaveincluded lowinternational pricesforrawmaterials, widespread international economic instability and concomitant foreign-debt burdens andbalance-of-payments problems. Those constraints haveemphasized theimportance todeveloping countries ofmaximizing thebenefit theyobtain fromtheresources available tothem. Development
**Analysis**
The text appears to be a comprehensive report on the state of development and its challenges in the 1990s. It discusses various aspects of development, including economic, social, and environmental issues. The text highlights the need for sustainable development, poverty reduction, and social policies to address the challenges faced by developing countries.

**Category**
Economic development, International trade, Education, Health, Natural resources and environment