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Manufacturing growth accelerations in developing countries

Author

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  • Nobuya Haraguchi
  • Bruno Martorano
  • Marco Sanfilippo
  • Anirudh Shingal

Abstract

This paper investigates the factors driving manufacturing growth accelerations in a sample of 134 developing countries over the period 1970 to 2014. We first identify growth acceleration episodes of manufacturing value added (MVA) by their year of initiation and according to a country’s income classification. We then estimate a probit model to explain what factors predict these MVA growth accelerations. Our results show that human capital and institutions represent contextual factors that favor the growth of manufacturing, together with macroeconomic policies related to investment, and openness to foreign trade and capital. We also find that most of these factors not only foster episodic accelerations of industry, but they contribute as well to a sustained process of industrialization that characterized the process of economic growth of a few successful countries over the period 1970 to 2014.

Suggested Citation

  • Nobuya Haraguchi & Bruno Martorano & Marco Sanfilippo & Anirudh Shingal, 2019. "Manufacturing growth accelerations in developing countries," Review of Development Economics, Wiley Blackwell, vol. 23(4), pages 1696-1724, November.
    • Handle: RePEc:bla:rdevec:v:23:y:2019:i:4:p:1696-1724
    DOI: 10.1111/rode.12621
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    Cited by:

    1. Muhammad Fikry Hadi & Muhammad Hidayat & Dwi Widiarsih & Neng Murialti, 2021. "The Role of Electricity and Energy Consumption Influences Industrial Development between Regions in Indonesia," International Journal of Energy Economics and Policy, Econjournals, vol. 11(3), pages 403-408.
    2. Amoah, Anthony & Asiama, Rexford Kweku & Korle, Kofi & Kwablah, Edmund, 2022. "Corruption: Is it a bane to renewable energy consumption in Africa?," Energy Policy, Elsevier, vol. 163(C).

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