Structural Changes in the Manufacturing Industry of Transition Economies
This paper addresses the pattern of structural change in selected transition and developed economies in Europe both from the point of view of a national economy and from cross-country perspective as well. It uses cross-industry country data at 2 and 3-digit level of the NACE classification to examine structural changes in the manufacturing industry in the second half of the 90’s. To asses the structural change the paper proposes a decomposition of productive efficiency into macroeconomic, or pro-cyclical component and “structural effect” component, based on two-error component model of unobservable effects. Estimation results from panel data models provided empirical evidence for a heterogeneous development pattern with dominating macroeconomic factors in many transition economies and prevailing structural factors in a few countries.
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Volume (Year): (2007)
Issue (Month): 3 ()
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