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SECTORIAL ANALYSIS: GROWTH ACCOUNTING OF SECONDARY INDUSTRIES

Yahya Z. Alshehhi and Judit Oláh
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Yahya Z. Alshehhi: Faculty of Economics and Business, University of Debrecen
Judit Oláh: Faculty of Economics and Business, University of Debrecen

Network Intelligence Studies, 2017, issue 9, 39-45

Abstract: The modern economic system of any nation is divided into three major producer’s sectors called primary, secondary, and tertiary. These sectors reform a chain of production as a continuum, ultimately in the end provide goods and services. In UAE, economy share divided by each sector of the current GDP in year 2015 were 1%, 48%, and 51%, for the primary, secondary, and tertiary sectors, respectively. The purpose of this empirical study is to analyze the economic industries of the secondary sector by projecting the contribution growth share of factors of production through using the growth accounting model for time series from 1990-2015. The methodology employed a quantitative description and data sourced from FCSA. We find the manufacturing industry the main key contributor to sector growth share, followed by the construction industry, where the mining and quarrying subsectors have less impact compared to the rest. We observed that the TFP performance improved positively in line with a declining size of labor.

Keywords: Growth accounting; Secondary sector; Economic industries; TFP; UAE (search for similar items in EconPapers)
JEL-codes: C23 E23 E24 (search for similar items in EconPapers)
Date: 2017
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