EconPapers    
Economics at your fingertips  
 

Sectoral Technology and Structural Transformation

Berthold Herrendorf () and Akos Valentinyi ()

No 349, 2013 Meeting Papers from Society for Economic Dynamics

Abstract: This paper assesses how structural transformation is affected by sectoral differences in labor-augmenting technological progress, capital intensity, and substitutability between capital and labor. We estimate CES production functions for agriculture, manufacturing, and services on postwar US data and compare them with Cobb-Douglas production functions with different and with equal capital shares. We find that sectoral differences in labor-augmenting technological progress are the main force behind the trends in observed sectoral labor and relative prices. As a result, Cobb-Douglas production functions with equal capital shares (which by construction abstract from differences in capital intensity and the elasticity of substitution) capture the main economic forces behind postwar US structural transformation that originate on the technology side.

Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4) Track citations by RSS feed

Downloads: (external link)
https://economicdynamics.org/meetpapers/2013/paper_349.pdf (application/pdf)

Related works:
Journal Article: Sectoral Technology and Structural Transformation (2015) Downloads
Working Paper: Sectoral Technology and Structural Transformation (2013) Downloads
Working Paper: Sectoral Technology and Structural Transformation (2012) Downloads
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:red:sed013:349

Access Statistics for this paper

More papers in 2013 Meeting Papers from Society for Economic Dynamics Society for Economic Dynamics Marina Azzimonti Department of Economics Stonybrook University 10 Nicolls Road Stonybrook NY 11790 USA. Contact information at EDIRC.
Bibliographic data for series maintained by Christian Zimmermann ().

 
Page updated 2019-04-15
Handle: RePEc:red:sed013:349