This study contributes to the debate on the premature deindustrialization of developing countries by analysing the contribution of services to aggregate productivity and output growth within a Kaldorian framework. The article revisits Kaldor’s Growth Laws and empirically tests them for a number of economic activities, including four service branches across 29 developing economies in Asia, Latin America and sub-Saharan Africa over three decades (1975–2005). Panel data estimations are complemented by a shiftshare decomposition of labour productivity growth. The findings support the Kaldorian argument for both manufacturing and business services’ contribution to aggregate productivity growth. Conversely, other services slow down aggregate productivity and output growth. The authors suggest qualifying and repositioning the debate on premature deindustrialization within a broader reflection on the opportunities for development linked to structural change. The analysis claims that these opportunities might include not only manufacturing sectors, but also business services. Copyright © 1999-2020 John Wiley & Sons, Inc. All rights reserved
Services in Developing Economies: The Deindustrialization Debate in Perspective / Di Meglio, Gisela; Gallego, Jorge; Maroto, Andr('e)s; Savona, Maria. - In: DEVELOPMENT AND CHANGE. - ISSN 1467-7660. - 49:6(2018), pp. 1495-1525. [10.1111/dech.12444]
Services in Developing Economies: The Deindustrialization Debate in Perspective
Savona, Maria
2018
Abstract
This study contributes to the debate on the premature deindustrialization of developing countries by analysing the contribution of services to aggregate productivity and output growth within a Kaldorian framework. The article revisits Kaldor’s Growth Laws and empirically tests them for a number of economic activities, including four service branches across 29 developing economies in Asia, Latin America and sub-Saharan Africa over three decades (1975–2005). Panel data estimations are complemented by a shiftshare decomposition of labour productivity growth. The findings support the Kaldorian argument for both manufacturing and business services’ contribution to aggregate productivity growth. Conversely, other services slow down aggregate productivity and output growth. The authors suggest qualifying and repositioning the debate on premature deindustrialization within a broader reflection on the opportunities for development linked to structural change. The analysis claims that these opportunities might include not only manufacturing sectors, but also business services. Copyright © 1999-2020 John Wiley & Sons, Inc. All rights reservedFile | Dimensione | Formato | |
---|---|---|---|
Di Meglio et al. Dev and Change 2018 .pdf
Open Access
Tipologia:
Versione dell'editore
Licenza:
Creative commons
Dimensione
213.78 kB
Formato
Adobe PDF
|
213.78 kB | Adobe PDF | Visualizza/Apri |
Pubblicazioni consigliate
I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.