IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

Be Careful! A Short Note on a Possible Bias in (Trade) Structural Change Analysys

  • Massimo TAMBERI

    ()

    (Universita' Politecnica delle Marche, Dipartimento di Economia)

I was accustomed to think that the world, in this of "modern economic growth", is becoming less specialized: the invention of new goods is, only partially, a "Schumpeterian" process, in the sense that new goods sometimes replace old ones, but it can also happens that these new goods simply are added to the old ones. Also in modern theoretical literature emerges (at least) the idea that producers use an increasing variety of intermediate goods and that consumers are likely better with more variety of goods in their hands. The process of change in the produced/consumed goods is one of the aspects of the broader spectrum of economic structural change that accompanies economic growth, "structural change" being one of the basic stylized facts of growth according to the Nobel Lecture of Simon Kuznets. In this paper, I will suggest that sector disaggregated data, necessary to study structural change, contain a bias that "hides" this process and causes a drift. By using trade data (because of their higher sector disaggregation richness) I'll first show that there is a tendency for a steady increase in sector concentration. Next, I will argue that this is due to the impossibility to properly register product innovation and finally, through a very rough model and an empirical example of two countries, I will also suggest that this reflects differently in developing and developed countries.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://docs.dises.univpm.it/web/quaderni/pdf/341.pdf
File Function: First version, 2010
Download Restriction: no

Paper provided by Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali in its series Working Papers with number 341.

as
in new window

Length: 25
Date of creation: May 2010
Date of revision:
Handle: RePEc:anc:wpaper:341
Contact details of provider: Postal: Piazzale Martelli, 8, 60121 Ancona
Phone: +39 071 220 7100
Fax: +39 071 220 7102
Web page: http://www.dises.univpm.it/

More information through EDIRC

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

as in new window
  1. Robert E. Lucas, 2000. "Some Macroeconomics for the 21st Century," Journal of Economic Perspectives, American Economic Association, vol. 14(1), pages 159-168, Winter.
  2. Aghion, P. & Howitt, P., 1989. "A Model Of Growth Through Creative Destruction," Working papers 527, Massachusetts Institute of Technology (MIT), Department of Economics.
  3. Kuznets, Simon, 1971. "Modern Economic Growth: Findings and Reflections," Nobel Prize in Economics documents 1971-2, Nobel Prize Committee.
  4. Krugman, Paul, 1979. "A Model of Innovation, Technology Transfer, and the World Distribution of Income," Journal of Political Economy, University of Chicago Press, vol. 87(2), pages 253-66, April.
  5. Amurgo-Pacheco, Alberto & Pierola, Martha Denisse, 2008. "Patterns of export diversification in developing countries : intensive and extensive margins," Policy Research Working Paper Series 4473, The World Bank.
  6. Masahisa Fujita & Paul Krugman & Anthony J. Venables, 2001. "The Spatial Economy: Cities, Regions, and International Trade," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262561476, June.
  7. Aghion, Philippe & Howitt, Peter, 1992. "A Model of Growth Through Creative Destruction," Scholarly Articles 12490578, Harvard University Department of Economics.
Full references (including those not matched with items on IDEAS)

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:anc:wpaper:341. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Maurizio Mariotti)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.