Emerging Patterns of Manufacturing Structural Change

Abstract

In the past, research on changes in relative importance among broad three sectors— agriculture, industry, and service—showed general patterns of a country’s structural transformation along with economic development. However, there has been devoid of empirical studies investigating in the structural change within the manufacturing sector, which often plays a role of the engine in economic growth. Our analysis looks into the evolution of production structures prevailing at certain development stages while controlling for country-given characteristics such as size, resource endowments, and others. This can provide an industrial policy framework for structural change facilitation that can lead to sustained economic development in the long run.industrial development, growth, industrial policy, manufacturing development patterns, comparative advantage