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Empirical Analysis of the Interconnection between Structural Changes and Labour Productivity

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  • Rossitsa Rangelova

Abstract

The paper discusses the change of the influence of certain branches and branch changes on the economic growth, particularly the labor productivity observed in the last few decades. As a result the processing industry is replaced by the service sector, which gradually becomes dominating since 1970s. For this purpose it is proved with the results of a long-lasting work of the Groningen Growth and Development Centre (The Netherlands) concerning countries from European Union and USA in the second half of 20th century – mainly in 1980s and 1990s and until the middle of the first decade of 21st century. The achieved results give reasons for a change of the existing stylized facts formulated by N. Kaldor (1967), S. Kuznets (1971) and A. Maddison (1980).

Suggested Citation

  • Rossitsa Rangelova, 2013. "Empirical Analysis of the Interconnection between Structural Changes and Labour Productivity," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 1, pages 3-40.
  • Handle: RePEc:bas:econst:y:2013:i:1:p:3-40
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    References listed on IDEAS

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    1. D. W. Jorgenson & Z. Griliches, 1967. "The Explanation of Productivity Change," Review of Economic Studies, Oxford University Press, vol. 34(3), pages 249-283.
    2. Marcel P. Timmer & Mary O’Mahony & Bart van Ark, 2007. "EU KLEMS Growth and Productivity Accounts: An Overview," International Productivity Monitor, Centre for the Study of Living Standards, vol. 14, pages 71-85, Spring.
    3. John W. Kendrick, 1973. "Postwar Productivity Trends in the United States, 1948–1969," NBER Books, National Bureau of Economic Research, Inc, number kend73-1, April.
    4. A. P. Thirlwall, 2002. "The Nature of Economic Growth," Books, Edward Elgar Publishing, number 2579.
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    More about this item

    JEL classification:

    • C4 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O5 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies

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