46 research outputs found

    Industrialization in developing countries: is it related to poverty reduction?

    Get PDF
    This paper proposes an empirical framework that relates poverty reduction to production growth.We use the GGDC/UNU-WIDER Economic Transformation Database to measure the contribution to growth of productivity improvements within sectors and structural change—the reallocation of workers across sectors—for 42 developing countries from 1990 to 2018. Next, the contributions are used in a regression analysis, which indicates that poverty reduction is significantly related to structural change and productivity growth in manufacturing. An attribution exercise suggests that structural change and agricultural productivity growth account for a substantial share of poverty reduction in developing Asia and sub-Saharan Africa, and that productivity growth in manufacturing accounts for poverty reduction in developing Asia, but not in sub-Saharan Africa

    Deconstructing the BRICs:Structural Transformation and Aggregate Productivity Growth

    Get PDF
    This paper studies structural transformation and its implications for productivity growth in the BRIC countries based on a new database that provides trends in value added and employment at a detailed 35-sector level. We find that for China, India and Russia reallocation of labour across sectors is contributing to aggregate productivity growth, whereas in Brazil it is not. However, this result is overturned when a distinction is made between formal and informal activities. Increasing formalization of the Brazilian economy since 2000 appears to be growth-enhancing, while in India the increase in informality after the reforms is growth-reducing
    corecore