Dualism and Cross-Country Growth Regressions

Jonathan Temple () and Ludger Woessmann ()

No 5655, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: This paper develops empirical growth models suitable for dual economies, and studies the relationship between structural change and economic growth. Structural change matters because, if the marginal product of labour varies across sectors, changes in the structure of employment can raise aggregate productivity. The models in the paper incorporate this effect in a more flexible way than previous work. Estimates of the models imply sizeable marginal product differentials, and indicate that the reallocation of labour makes a significant contribution to the international variation in productivity growth.

Keywords: dualism; structural change; TFP growth; wage differentials (search for similar items in EconPapers)
JEL-codes: O11 O40 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-dev and nep-eff
Date: 2006-04
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Related works:
Working Paper: Dualism and cross-country growth regressions (2004)
Working Paper: Dualism and Cross-Country Growth Regressions (2004)
Working Paper: Dualism and cross-country growth regressions (2006)
Journal Article: Dualism and cross-country growth regressions (2006)
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