Technological Progress, Structural Change and Productivity Growth in Manufacturing Sector of South Korea

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Technological Progress, Structural Change and Productivity Growth in Manufacturing Sector of South Korea

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Singh, Lakhwinder

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Lakhwinder Singh Professor

Abstract

This paper focuses on the impact of technology, structural change on the aggregate productivity growth in manufacturing sector of South Korea, using the eight firm size classes over the period 1970-2000. The conventional shift-share analysis is used to measure the impact of shift of both labor and capital inputs. The results show that structural change on average has been conducive to productivity growth during the 1970s and this pattern reversed afterwards. Small and medium industries were more dynamic in terms of reallocation of resources, however, their positive impact out-weighed because of the dominance of large sized firms in the manufacturing sector. Deliberate state policy favoring large sized firms has impeded restructuring process facilitated by technical progress may have a penalty in terms of forgone growth.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 99.

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Date of creation: 2004
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Publication status: Published in World Review of Science Technology and Sustainable Development No.1.Vol.1(2004): pp. 37-49
Handle: RePEc:pra:mprapa:99

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Find related papers by JEL classification:
O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
O14 - Economic Development, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
O1 - Economic Development, Technological Change, and Growth - - Economic Development

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Audretsch, David B, et al, 2002. "Impeded Industrial Restructuring: The Growth Penalty," Kyklos, Blackwell Publishing, vol. 55(1), pages 81-97.
Other versions:
- D.B. Audretsch & M.A. Carree & A.J. van Stel & A.R. Thurik, 2000. "Impeded Industrial Restructuring: The Growth Penalty," Tinbergen Institute Discussion Papers 00-095/3, Tinbergen Institute. [Downloadable!]
- Audretsch, David B & Thurik, A R Roy, 2000. "Impeded Industrial Restructuring: The Growth Penalty," CEPR Discussion Papers 2648, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
Fagerberg, Jan & Verspagen, Bart, 2002. "Technology-gaps, innovation-diffusion and transformation: an evolutionary interpretation," Research Policy, Elsevier, vol. 31(8-9), pages 1291-1304, December. [Downloadable!] (restricted)
Other versions:
- Jan Fagerberg & Bart Verspagen, 2001. "Technology-Gaps, Innovation-Diffusion And Transformation: An Evolutionary Interpretation," Working Papers 11, Centre for Technology, Innovation and Culture, University of Oslo. [Downloadable!]
Harberger, Arnold C, 1998. "A Vision of the Growth Process," American Economic Review, American Economic Association, vol. 88(1), pages 1-32, March.
Jan Fagerberg, 2000. "Technological Progress, Structural Change and Productivity Growth: A Comparative Study," Working Papers 5, Centre for Technology, Innovation and Culture, University of Oslo.
Other versions:
- Fagerberg, Jan, 2000. "Technological progress, structural change and productivity growth: a comparative study," Structural Change and Economic Dynamics, Elsevier, vol. 11(4), pages 393-411, December. [Downloadable!] (restricted)
Timmer, Marcel P. & Szirmai, Adam, 2000. "Productivity growth in Asian manufacturing: the structural bonus hypothesis examined," Structural Change and Economic Dynamics, Elsevier, vol. 11(4), pages 371-392, December. [Downloadable!] (restricted)

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