Productivity, Structural Change in Employment and Economic Growth

Enrique R. Casares
Additional contact information
Enrique R. Casares: Universidad Autónoma Metropolitana

Estudios Económicos, 2007, vol. 22, issue 2, 335-355

Abstract: We develop an endogenous growth model with two sectors, manufacturing and non-manufacturing. The manufacturing sector is the source of the balanced productivity growth. We study how the economy responds to shifts in sector-specific productivity. Thus, when the sector-specific productivity in the manufacturing sector increases, we find that the fraction of labor employed in the manufacturing sector follows an inverted V curve, and that the growth rate increases. Thus, the model captures approximately the documented pattern of development for the share of manufacturing employment, a bell shape over time. When the sector-specific productivity in the non-manufacturing sector increases, the growth rate remains unchanged because the non-manufacturing sector is the non-learning sector.

Keywords: manufacturing sector; learning by doing; productivity; structural change; growth (search for similar items in EconPapers)
JEL-codes: O14 O30 O41 (search for similar items in EconPapers)
Date: 2007
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://estudioseconomicos.colmex.mx/index.php/economicos/article/view/141/143

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:emx:esteco:v:22:y:2007:i:2:p:335-355

Access Statistics for this article

More articles in Estudios Económicos from El Colegio de México, Centro de Estudios Económicos Contact information at EDIRC.
Bibliographic data for series maintained by Ximena Varela ().