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Is growth of services an obstacle to productivity growth? A comparative analysis

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  • Maroto-Sánchez, Andrés
  • Cuadrado-Roura, Juan R.

Abstract

The relationship between economic structure and productivity growth has been a subject of increasing interest over recent decades. The innovative focus of this paper concerns the role of the service sector in this relationship. Services play a core role in advanced economies, both from a quantitative and a strategic point of view. However, empirical research in this area lies considerably behind the research into the agricultural and manufacturing sectors. This paper focuses on the impact of tertiarisation on overall productivity growth, using a sample of 37 OECD countries in the period between 1980 and 2005. The results partially refute traditional knowledge on the productivity of services. Contrary to what conventional theories suggest, this research demonstrates that several tertiary activities have shown dynamic productivity growth rates, while their contribution to overall productivity growth plays a more important role than was historically believed.

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Bibliographic Info

Article provided by Elsevier in its journal Structural Change and Economic Dynamics.

Volume (Year): 20 (2009)
Issue (Month): 4 (December)
Pages: 254-265

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Handle: RePEc:eee:streco:v:20:y:2009:i:4:p:254-265

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Web page: http://www.elsevier.com/locate/inca/525148

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Keywords: Service sector Productivity growth Structural change;

References

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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Citations

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Cited by:
  1. Marta C. N. Simões & Adelaide Duarte, 2013. "Human Capital and Growth in a Services Economy: the Case of Portugal," GEMF Working Papers 2013-21, GEMF - Faculdade de Economia, Universidade de Coimbra.
  2. Marta S. S. Ramos & Marta C. N. Simoes, 2011. "Growth and the Services Sector: The Portugal Case," Book Chapters, Institute of Economic Sciences.
  3. Fabrizio Carmignani & Thomas Mandeville, . "Never been industrialized: a tale of African structural change," MRG Discussion Paper Series 3710, School of Economics, University of Queensland, Australia.
  4. Hartwig, Jochen, 2012. "Testing the growth effects of structural change," Structural Change and Economic Dynamics, Elsevier, vol. 23(1), pages 11-24.
  5. HORI Takeo & UCHINO Taisuke, 2013. "Competition, Productivity Growth, and Structural Change," Discussion papers 13041, Research Institute of Economy, Trade and Industry (RIETI).
  6. Cristian Dragos & Simona Laura Dragos, 2012. "Econometric Estimations of the Services and Financial Sector Impact on Economic Growth Variations in Times of Crisis," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 14(Special N), pages 621-634, November.
  7. Sasaki, Hiroaki, 2012. "Endogenous phase switch in Baumol's service paradox model," Structural Change and Economic Dynamics, Elsevier, vol. 23(1), pages 25-35.
  8. Hiroaki Sasaki, 2010. "Endogenous Phase Switch in Baumol’s Service Paradox Model," Discussion papers e-10-010, Graduate School of Economics Project Center, Kyoto University.
  9. Xiaobin Dong & Yufang Zhang & Weijia Cui & Bin Xun & Baohua Yu & Sergio Ulgiati & Xinshi Zhang, 2011. "Emergy-Based Adjustment of the Agricultural Structure in a Low-Carbon Economy in Manas County of China," Energies, MDPI, Open Access Journal, vol. 4(9), pages 1428-1442, September.
  10. Yulia Melikhova & José Antonio Camacho Ballesta & Ivana Holubcova, 2012. "Tertiarisation and globalisation of productive systems: comparative analysis," ERSA conference papers ersa12p904, European Regional Science Association.

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