The modern tendency is towards planning and self-sufficiency,and it can only be realised when the temtory of the state is large enough,to abound in a variety of natural resources,The scale of production determines the mode of production. Large-scale production is always accompanied by rationalization of industry in order to advantageously compete in the international market,besides commanding an extensive and stable domes tie market. After all,the economic conditions of a state determine the politic a endanger international peace