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Industrialization in developing countries: is it related to poverty reduction?

Author

Listed:
  • Abdul A. Erumban
  • Gaaitzen de Vries

Abstract

This paper proposes an empirical framework that relates poverty reduction to production growth. We use the GGDC/UNU-WIDER Economic Transformation Database to measure the contribution to growth of productivity improvements within sectors and structural change—the reallocation of workers across sectors—for 42 developing countries from 1990 to 2018. Next, the contributions are used in a regression analysis, which indicates that poverty reduction is significantly related to structural change and productivity growth in manufacturing.

Suggested Citation

  • Abdul A. Erumban & Gaaitzen de Vries, 2021. "Industrialization in developing countries: is it related to poverty reduction?," WIDER Working Paper Series wp-2021-172, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2021-172
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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

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    Keywords

    Poverty; Production; Growth; Manufacturing; Structural change; Developing countries;
    All these keywords.

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