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Structural Change and the Service Sector in Brazil

  • Marcio José Vargas da Cruz

    (Department of Economics, Universidade Federal do Paraná)

  • Gabriel Porcile

    (Department of Economics, Universidade Federal do Paraná)

  • Luciano Nakabashi

    (Department of Economics, Universidade Federal do Paraná)

  • Fábio Dória Scatolin

    (Department of Economics, Universidade Federal do Paraná)

A key question with a long tradition in development economics is which patterns of structural change are more conducive for economic growth and convergence in the international economy. Although some studies show that industry has been loosing ground in the Brazilian economy (both in terms of employment and value added), there are few studies discussing how this process affects the performance of the Brazilian economy. Evidence regarding the quality of the jobs created in other sectors is yet scarce. Both topics are addressed in this paper. It is suggested that that the Brazilian deindustrialization process is not a virtuous one, i.e. it is not the result of a dynamic response to long run trends in technology and demand. On the contrary, most jobs are generated in low-productivity activities in the service sector.

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File URL: http://www.economiaetecnologia.ufpr.br/textos_discussao/texto_para_discussao_ano_2008_texto_05.pdf
File Function: First version, 2008
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Paper provided by Universidade Federal do Paraná, Department of Economics in its series Working Papers with number 0075.

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Length: 21 pages
Date of creation: 2008
Date of revision:
Handle: RePEc:fup:wpaper:0075
Note: Creation Date corresponds to the year in which the paper was published on the Department of Economics website. The paper may have been written a small number of months before its publication date.
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  1. Gordon H. Hanson, 1994. "Regional Adjustment to Trade Liberalization," NBER Working Papers 4713, National Bureau of Economic Research, Inc.
  2. Mario, Cimoli, 2005. "Heterogeneidad estructural, asimetrías tecnológicas y crecimiento en América Latina
    [Structural heterogeneity, technological asymmetries and growth in Latin America]
    ," MPRA Paper 3832, University Library of Munich, Germany.
  3. Ajit Singh & Sukti Dasgupta, 2005. "Will services be the new engine of economic growth in India?," ESRC Centre for Business Research - Working Papers wp310, ESRC Centre for Business Research.
  4. Jan Fagerberg, 2000. "Technological Progress, Structural Change and Productivity Growth: A Comparative Study," Working Papers 5, Centre for Technology, Innovation and Culture, University of Oslo.
  5. Glaeser, Edward L & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1992. "Growth in Cities," Journal of Political Economy, University of Chicago Press, vol. 100(6), pages 1126-52, December.
    • Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc.
    • Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992. "Growth in Cities," Scholarly Articles 3451309, Harvard University Department of Economics.
  6. Schettkat, Ronald & Yocarini, Lara, 2006. "The shift to services employment: A review of the literature," Structural Change and Economic Dynamics, Elsevier, vol. 17(2), pages 127-147, June.
  7. Dasgupta, Sukti & Singh, Ajit, 2006. "Manufacturing, Services and Premature Deindustrialization in Developing Countries: A Kaldorian Analysis," Working Paper Series RP2006/49, World Institute for Development Economic Research (UNU-WIDER).
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