Sectoral Shift, Wealth Distribution, and Development

There are two phenomena widely observed when an economy departs from an underdeveloped state and starts rapid economic growth. One is the shift of production, employment, and consumption from the traditional sector to the modern sector, and the other is a large increase in educational levels of its population. The question is why some economies have succeeded in such structural change, but others do not. In order to examine the question, an OLG model that explicitly takes into account the sectoral shift and human capital accumulation as sources of development is constructed. It is shown that, for a successful structural change, an economy must start with a wealth distribution that gives rise to an adequate size of 'middle class'. Once the economy initiates the 'take-off', the sectoral shift and human capital growth continue until it reaches the steady state with high income and equal distribution. However, when the productivity of the traditional sector is low, irrespective of the initial distribution and the productivity of the modern sector, it fails in the sectoral shift and ends up in one of steady states with low income and high inequality. Thus, sufficient productivity of the traditional sector is a prerequisite for development.Human capital; Sectoral shift; Structural change; Wealth distribution

Sectoral Shift, Wealth Distribution, and Development

There are two phenomena widely observed when an economy departs from an underdeveloped state and starts rapid economic growth. One is the shift of production, employment, and consumption from the traditional sector to the modern sector, and the other is a large increase in educational levels of its population. The question is why some economies have succeeded in such ’structural change’, but others do not. In order to examine the question, an overlapping generations model that explicitly takes into account the sectoral change and human capital accumulation as sources of development is constructed and analyzed.Economic development; Human capital; Sectoral shift; Wealth distribution

Machine Learning for Intrusion Detection: Modeling the Distribution Shift

This paper addresses two important issue that arise in formulating and solving computer intrusion detection as a machine learning problem, a topic that has attracted considerable attention in recent years including a community wide competition using a common data set known as the KDD Cup ’99. The first of these problems we address is the size of the data set, 5 × 106 by 41 features, which makes conventional learning algorithms impractical. In previous work, we introduced a one-pass non-parametric classification technique called Voted Spheres, which carves up the input space into a series of overlapping hyperspheres. Training data seen within each hypersphere is used in a voting scheme during testing on unseen data. Secondly, we address the problem of distribution shift whereby the training and test data may be drawn from slightly different probability densities, while the conditional densities of class membership for a given datum remains the same. We adopt two recent techniques from the literature, density weighting and kernel mean matching, to enhance the Voted Spheres technique to deal with such distribution disparities. We demonstrate that substantial performance gains can be achieved using these techniques on the KDD cup data set

Sectoral Shift, Wealth Distribution, and Development

There are two phenomena widely observed when an economy departs from an underdeveloped state and starts rapid economic growth. One is the shift of production, employment, and consumption from the traditional sector to the modern sector, and the other is a large increase in educational levels of its population. The question is why some economies have succeeded in such structural change, but others do not. In order to examine the question, an OLG model that explicitly takes into account the sectoral shift and human capital accumulation as sources of development is constructed. It is shown that, for a successful structural change, an economy must start with a wealth distribution that gives rise to an adequate size of 'middle class'. Once the economy initiates the 'take-off', the sectoral shift and human capital growth continue until it reaches the steady state with high income and equal distribution. However, when the productivity of the traditional sector is low, irrespective of the initial distribution and the productivity of the modern sector, it fails in the sectoral shift and ends up in one of steady states with low income and high inequality. Thus, sufficient productivity of the traditional sector is a prerequisite for development

INCOME DISTRIBUTION POLICY IN THE NETHERLANDS: A PARADIGM SHIFT

This paper investigates which different views have occurred on the main lines of the Dutch incomes policy. To this end the implications of the incomes policies pursued by different cabinets have been analyzed, mainly since 1973. It appears that distributive policies are heavily influenced by a paradigm shift. In the 1970s, the Dutch government replaced its keynesian oriented economic policy making with a neoclassical framework. As a result, the government not only moved from an interventionist approach in the 1970s to a restrained attitude in the 1980s and 1990s, but also altered the institutional framework of its distributive policies by abolishing a number of policy instruments that had been created to influence the size distribution of incomes.Incomes policy, Netherlands