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Unconditional Convergence

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  • Rodrik, Dani

Abstract

Unlike economies as a whole, manufacturing industries exhibit unconditional convergence in labor productivity. The paper documents this finding for 4-digit manufacturing sectors for a large group of developed and developing countries over the period since 1990. The coefficient of unconditional convergence is estimated quite precisely and is large, at 3.0-5.6 percent per year depending on the estimation horizon. The result is robust to a large number of specification tests, and statistically highly significant. Because of data coverage, these findings should be as viewed as applying to the organized, formal parts of manufacturing.

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Bibliographic Info

Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 8631.

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Date of creation: Nov 2011
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Handle: RePEc:cpr:ceprdp:8631

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Keywords: convergence; growth;

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Cited by:
  1. Ricardo Argüello, 2013. "Trade diversification in Colombia, 1991-2011," BORRADORES DE INVESTIGACIÓN 011019, UNIVERSIDAD DEL ROSARIO.
  2. Dijk, Michiel van, 2013. "Productivity growth at the sectoral level: measurement and projections," Proceedings Issues, 2013: Productivity and Its Impacts on Global Trade, June 2-4, 2013. Seville, Spain 152268, International Agricultural Trade Research Consortium.
  3. Bénétrix, Agustín & O'Rourke, Kevin H. & Williamson, Jeffrey G, 2012. "The Spread of Manufacturing to the Periphery 1870-2007: Eight Stylized Facts," CEPR Discussion Papers 9060, C.E.P.R. Discussion Papers.
  4. Ghani, Ejaz & Kanbur, Ravi, 2013. "Urbanization and (in)formalization," Policy Research Working Paper Series 6374, The World Bank.
  5. Ghani, Ejaz & Kerr, William R. & O'Connell, Stephen D., 2013. "The exceptional persistence of India's unorganized sector," Policy Research Working Paper Series 6454, The World Bank.
  6. Nicholas Sly & Caroline Weber, 2013. "International Fiscal Policy Coordination and GDP Comovement," CESifo Working Paper Series 4358, CESifo Group Munich.
  7. Robert Z. Lawrence & Lawrence Edwards, 2013. "US Employment Deindustrialization: Insights from History and the International Experience," Policy Briefs PB13-27, Peterson Institute for International Economics.

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