the international arrs trade, which has becone a rnaJor vehlcle of transporting thecentral arns race to the periphery. S]/ I04. Even outside the arena of international arm6 tranEfers, bhe socio-econornic problens of the developing countries cannot be overcotrE in isolation from theinternational econqnlc context. 64/ llhe goats of the international developBent strategy had assuned that the industrialized world rrould nove along a relativelyinflatlon-free, nearly full-enployment path of sustained acceleration of econdricgrowth. The task of internatlonal development strategy was to devise measures tointegrate the devetoping countries into a world econorny noving ahead at arelatively stable and predictable rate. Present conditions, hoeever, are quitedifferent: increased instablllty in world output and prices, acconpan ied by a donnnard shift in the long-tern trend of economic growth for the industrializedcountries, have rendered the extelnal involvement less predictable and lessfavourable. One reaction to this change has been to suggest a ldrering of thedevelolmental objectives. But a loh'ering of the developnental objectlves may render the international econornic systen itself nrc|re unstable because accelerated econonic Arowth in the developing countries nay signiflcantly raise the levels of both the demand- and supply-side constraints on the econornic grc'nth of theindustrialized countries. 55,/ concerted actlon in pursuit of this line of thought nay also overcoflE the present paradloxica]. situation wtrereby 1o{r growth for the developing countr.i.es is unsustainable frorn the viewpoint of their ovrn aocial dynamics, vrtrile high growth for then is not feasible in the context of the existinginternational economic s i.tuation. 105. Although the negaclve econcrnic inpact of hlgh nllitary spending ls widely recognized, in sole cases the nil-ltary forces are €een as havlng a coheslve effect A/37/386 English Annex Page 50