If the dependency approach is to make contributions beyond the description of past events to the analysis of development strategies. explicit discussion in terms of available historical alternatives must he introduced. This paper attempts a brief review of Costa Rican history in which comparisons are made with analytically plausible alternative development paths. First, the surprising material and political features of present day Costa Rica are explained as results of the production structures generated by internal processes and the dynamics of the integration into larger systems. This has been correlated with a process of class formation which has set the stage for non‐authoritarian political developments. Secondly. the strategies of development implemented have represented the most progressive options available.