Hence, at least in the first stages of development, inequality does not appear to be either a driving factor for, or an obstacle to, development. Kaldor (1957) presented an economic model in which GDP growth was limited by available resources and not by effective demand: capital accumulation, the flow of innovation and the growth of the population determined economic expansion. Kaldor did not imply that this should form the basis of any policy recommendation, since in his model income distribution was endogenous, but for many years a widespread interpretation of his model was that growth could be boosted by increasing the share of capital in income distribution (box 2.1).