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A structuralist North-South model on structural change, economic growth and catching-up

  • Botta, Alberto

This paper presents a structuralist North-South model on structural change, industrialization and economic convergence. In a balance-of-payments-constrained macro-setting, we assume a cumulative process between industrialization and growth. Differently from the traditional post-Keynesian models, we endogenize the productive structure of developing countries. We enquire how industrialization affects uneven development and convergence processes. Multiple growth paths and a long-run path-dependent equilibrium emerge. Industrialization proves to be a necessary but not sufficient condition for catching-up. Good management by the domestic institutions of domestic industrialization is a complementary requirement.

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Article provided by Elsevier in its journal Structural Change and Economic Dynamics.

Volume (Year): 20 (2009)
Issue (Month): 1 (March)
Pages: 61-73

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Handle: RePEc:eee:streco:v:20:y:2009:i:1:p:61-73
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/525148

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