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Expansion of Services Output Share: Traditional Factors or Policy Changes?

Author

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  • Amrita Roy

    (Centre for Economic Studies and Planning, School of Social Sciences, Jawaharlal Nehru University, New Delhi, India)

Abstract

This paper seeks to find whether the shift in the production structure away from agriculture to services is only the result of the change in income status or the changing economic relations among countries has any important role to play here. It tries to find out the factors responsible for the huge expansion of the services output in recent times (1971–2009) considering three different samples (a) a group of developed and developing countries, (b) a group of developing countries, in particular and also (c) the case of India. The paper finds that along with the variables representing changing income status and technological development, policy changes related to globalization and liberalisation are also important but these policy variables can not explain the shift in the output share of the service sector in the 1990s.

Suggested Citation

  • Amrita Roy, 2015. "Expansion of Services Output Share: Traditional Factors or Policy Changes?," Global Economy Journal (GEJ), World Scientific Publishing Co. Pte. Ltd., vol. 15(3), pages 409-430, September.
    • Handle: RePEc:wsi:gejxxx:v:15:y:2015:i:03:n:gej-2014-0034
    DOI: 10.1515/GEJ-2014-0034
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    References listed on IDEAS

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    1. Sukti Dasgupta & Ajit Singh, 2006. "Manufacturing, Services and Premature De-Industrialisation in Developing Countries: A Kaldorian Empirical Analysis," Working Papers wp327, Centre for Business Research, University of Cambridge.
    2. Park, Donghyun & Shin, Kwanho, 2012. "The Service Sector in Asia: Is It an Engine of Growth?," ADB Economics Working Paper Series 322, Asian Development Bank.
    3. Sukti Dasgupta & Ajit Singh, 2006. "Manufacturing, Services and Premature Deindustrialization in Developing Countries: A Kaldorian Analysis," WIDER Working Paper Series RP2006-49, World Institute for Development Economic Research (UNU-WIDER).
    4. World Bank, 2010. "World Development Indicators 2010," World Bank Publications - Books, The World Bank Group, number 4373, December.
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