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The transition to the service society: prospects for growth, productivity and employment

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  • Klodt, Henning
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    Abstract

    The paper explores the basic features of structural change towards services for OECD countries in general and for Germany in particular. The determinants of sectoral shifts are analytically decomposed into the demandbias and the productivity-bias. The demand-bias, which prevails in all OECD countries, mainly reflects the spread of service-based new technologies and related shifts in intermediate demand. The productivity-bias is valid for most countries, but not for Germany, where service sector expansion concentrated on highly productive disembodied services. This anomaly in structural change restricted the capacity of the German service sector to absorb dismissed industrial workers.

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    File URL: http://econstor.eu/bitstream/10419/986/1/237800640.pdf
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    Bibliographic Info

    Paper provided by Kiel Institute for the World Economy in its series Kiel Working Papers with number 839.

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    Date of creation: 1997
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    Handle: RePEc:kie:kieliw:839

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    1. Asea, Patrick K & Corden, W Max, 1994. "The Balassa-Samuelson Model: An Overview," Review of International Economics, Wiley Blackwell, Wiley Blackwell, vol. 2(3), pages 191-200, October.
    2. Bela Balassa, 1964. "The Purchasing-Power Parity Doctrine: A Reappraisal," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 72, pages 584.
    3. Bhagwati, Jagdish N, 1984. "Why Are Services Cheaper in the Poor Countries?," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 94(374), pages 279-86, June.
    4. Horst Siebert, 1997. "Labor Market Rigidities: At the Root of Unemployment in Europe," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 11(3), pages 37-54, Summer.
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    Cited by:
    1. Markus Diehl, 1999. "The Impact of International Outsourcing on the Skill Structure of Employment: Empirical Evidence from German Manufacturing Industries," Kiel Working Papers 946, Kiel Institute for the World Economy.

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