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Industrial Employment, Investment Equipment, and Economic Growth

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Author Info

  • Dellas, Harris
  • Koubi, Vally

Abstract

The industrialization of labour is the main engine of growth during the early stages of economic development. In less developed countries, equipment investment has played a less important role than non-equipment investment; and it has only proved growth enhancing when it either encountered a substantial industrial labour force or fostered a large increase in the share of industrial employment. These findings draw attention to the effects of investment on the composition of the labour force; and unlike recent claims emphasizing industrialization via equipment investment, they suggest that employment industrialization policies may hold the key to success in the LDC world.

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Bibliographic Info

Article provided by University of Chicago Press in its journal Economic Development and Cultural Change.

Volume (Year): 49 (2001)
Issue (Month): 4 (July)
Pages: 867-81

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Handle: RePEc:ucp:ecdecc:v:49:y:2001:i:4:p:867-81

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Web page: http://www.journals.uchicago.edu/EDCC/

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Cited by:
  1. M. Herrerias & Vicente Orts, 2012. "Equipment investment, output and productivity in China," Empirical Economics, Springer, vol. 42(1), pages 181-207, February.
  2. Maria Herrerias, 2010. "The causal relationship between equipment investment and infrastructures on economic growth in China," Frontiers of Economics in China, Springer, vol. 5(4), pages 509-526, December.

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