IDEAS home Printed from https://ideas.repec.org/p/ise/isegwp/wp242013.html
   My bibliography  Save this paper

The Structure and Evolution of Production, Employment and Human Capital in Portugal: an Input-Output Approach

Author

Listed:
  • João Carlos Lopes
  • João Ferreira do Amaral

Abstract

The main purpose of this paper is to analyse the structure and evolution of production, employment and human capital in Portugal, using an inter-industry approach. A descriptive analysis of the sector composition of gross output, value added and employment is made, followed by a quantification of changes in relative labour productivity and primary input content of final demand components. Next, the evolution of employment multipliers is quantified, as well as the structure of labour force qualifications by sector. Although remarkable improvements have been achieved in the past, the low educational levels of its workers, on average, remains one the main vulnerabilities of Portugal in the global and knowledge economy of our days. In this context, the main contribution of the paper is the quantification of human capital requirements of final demand changes by component. Using an input-output approach combining sector productivities and labour qualifications, output multipliers and final demand structure, it is possible to quantify the growth in employment by level of qualification resulting from a unitary growth of private and public consumption, investment and exports. This exercise is made for 1995 and 2008, using input-output domestic flow tables from INE and DPP and employment qualifications from Quadros de Pessoal database.

Suggested Citation

  • João Carlos Lopes & João Ferreira do Amaral, 2013. "The Structure and Evolution of Production, Employment and Human Capital in Portugal: an Input-Output Approach," Working Papers Department of Economics 2013/24, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
  • Handle: RePEc:ise:isegwp:wp242013
    as

    Download full text from publisher

    File URL: https://depeco.iseg.ulisboa.pt/wp/wp242013.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Álvaro A. Novo & Mário Centeno & Nuno Alves, 2010. "Investment in Education in Portugal: Returns and Heterogeneity," Economic Bulletin and Financial Stability Report Articles and Banco de Portugal Economic Studies, Banco de Portugal, Economics and Research Department.
    2. João Do Amaral & João Dias & João Lopes, 2012. "A new kind of production and value-added multiplier for assessing the scale and structure effects of demand shocks in input–output frameworks," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 49(1), pages 103-115, August.
    3. João Carlos Lopes, 2011. "High Employment Generating Industries in Portugal. An Input-Output Approach," Working Papers Department of Economics 2011/24, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    4. João Ferreira do Amaral & João Carlos Lopes & João Dias, 2011. "External dependency, value added generation and structural change: an inter-industry approach," Notas Económicas, Faculty of Economics, University of Coimbra, issue 33, pages 06-19, June.
    5. Miller,Ronald E. & Blair,Peter D., 2009. "Input-Output Analysis," Cambridge Books, Cambridge University Press, number 9780521517133.
    6. Barro, Robert J. & Lee, Jong Wha, 2013. "A new data set of educational attainment in the world, 1950–2010," Journal of Development Economics, Elsevier, vol. 104(C), pages 184-198.
    7. Miller,Ronald E. & Blair,Peter D., 2009. "Input-Output Analysis," Cambridge Books, Cambridge University Press, number 9780521739023.
    8. António Rua & Hugo Reis, 2006. "An input-output analysis: linkages vs leakages," Working Papers w200617, Banco de Portugal, Economics and Research Department.
    9. Ricardo Reis, 2013. "The Portugese Slump and Crash and the Euro Crisis," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 44(1 (Spring), pages 143-210.
    10. Ricardo Reis, 2013. "The Portugese Slump and Crash and the Euro Crisis," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 44(1 (Spring), pages 143-210.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. LOPES, Joao Carlos & SANTOS, Ana, 2016. "Vertical Specialization, Global Value Chains And International Trade: The Rubber And Plastics Industry In Portugal And Comparison With Northern And Southern Eu Countries," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 16(2), pages 15-28.
    2. José da Silva Costa & Ruben Fernandes & Ana Natálio, 2014. "Household Sorting and Politics: Empirical Evidence for the Metropolitan Area of Porto (Portugal)," FEP Working Papers 525, Universidade do Porto, Faculdade de Economia do Porto.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. João Ferreira do Amaral & João Carlos Lopes, 2015. "The Trade-off Unemployment Rate/External Deficit: Assessing the Economic Adjustment Program of the Troika (European Commission, ECB and IMF) for Portugal using an Input-Output Approach," Working Papers Department of Economics 2015/04, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    2. Afonso, António & Gomes, Pedro & Taamouti, Abderrahim, 2014. "Sovereign credit ratings, market volatility, and financial gains," Computational Statistics & Data Analysis, Elsevier, vol. 76(C), pages 20-33.
    3. Antonio Carlos Moretto & João Dias & João Carlos Lopes, & Rossana Lott Rodrigues, 2013. "Effects of demand shocks in the Brazilian economy: new production and value added multipliers," Working Papers Department of Economics 2013/22, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    4. António Afonso & Jorge Silva, 2017. "Current account balance cyclicality," Applied Economics Letters, Taylor & Francis Journals, vol. 24(13), pages 911-917, July.
    5. Peydró, José-Luis & Jasova, Martina & Mendicino, Caterina & Panetti, Ettore & Supera, Dominik, 2021. "Monetary Policy, Labor Income Redistribution and the Credit Channel: Evidence from Matched Employer-Employee and Credit Registe," CEPR Discussion Papers 16549, C.E.P.R. Discussion Papers.
    6. D. Siena, 2014. "The European Monetary Union and Imbalances: Is it an Anticipation Story ?," Working papers 501, Banque de France.
    7. Alberto Bagnai & Christian Alexander Mongeau Ospina, 2018. "Monetary integration vs. real disintegration: single currency and productivity divergence in the euro area," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 21(4), pages 353-367, October.
    8. Benigno, Gianluca & Converse, Nathan & Fornaro, Luca, 2015. "Large capital inflows, sectoral allocation, and economic performance," Journal of International Money and Finance, Elsevier, vol. 55(C), pages 60-87.
    9. in 't Veld, Jan & Kollmann, Robert & Pataracchia, Beatrice & Ratto, Marco & Roeger, Werner, 2014. "International capital flows and the boom-bust cycle in Spain," Journal of International Money and Finance, Elsevier, vol. 48(PB), pages 314-335.
    10. Dobrescu, Emilian, 2013. "Modelling the Sectoral Structure of the Final Output," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(3), pages 59-89, October.
    11. Maurizio Ciaschini & Francesca Severini, 2010. "The Economic Impact of the Green Certificate Market through the Macro Multiplier Approach," Working Papers 2010.105, Fondazione Eni Enrico Mattei.
    12. Johann Audrain & Mateo Cordier & Sylvie Faucheux & Martin O’Connor, 2013. "Écologie territoriale et indicateurs pour un développement durable de la métropole parisienne," Revue d'économie régionale et urbaine, Armand Colin, vol. 0(3), pages 523-559.
    13. Felipe Saffie & Liliana Varela & Kei-Mu Yi, 2020. "The Micro and Macro Dynamics of Capital Flows," NBER Working Papers 27371, National Bureau of Economic Research, Inc.
    14. Daniel Croner and Ivan Frankovic, 2018. "A Structural Decomposition Analysis of Global and National Energy Intensity Trends," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2).
    15. Lidia Smitkova, 2023. "Profits, ‘Superstar’ Firms and Capital Flows," Economics Series Working Papers 1030, University of Oxford, Department of Economics.
    16. Lach, Łukasz, 2022. "Optimization based structural decomposition analysis as a tool for supporting environmental policymaking," Energy Economics, Elsevier, vol. 115(C).
    17. Arne J. Nagengast & Robert Stehrer, 2016. "Accounting for the Differences Between Gross and Value Added Trade Balances," The World Economy, Wiley Blackwell, vol. 39(9), pages 1276-1306, September.
    18. repec:hal:wpspec:info:hdl:2441/78jqkj5bb48tgb9ah9a0kqhplu is not listed on IDEAS
    19. Lee, Frederic, 2011. "Old controversy revisited: pricing, market structure, and competition," MPRA Paper 30490, University Library of Munich, Germany.
    20. Monacelli, Tommaso & Sala, Luca & Siena, Daniele, 2023. "Real interest rates and productivity in small open economies," Journal of International Economics, Elsevier, vol. 142(C).
    21. Markus K. Brunnermeier & Sam Langfield & Marco Pagano & Ricardo Reis & Stijn Van Nieuwerburgh & Dimitri Vayanos, 2017. "ESBies: safety in the tranches," Economic Policy, CEPR, CESifo, Sciences Po;CES;MSH, vol. 32(90), pages 175-219.

    More about this item

    Keywords

    Employment; Human Capital; Input-Output Analysis; Portugal;
    All these keywords.

    JEL classification:

    • C57 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Econometrics of Games and Auctions
    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ise:isegwp:wp242013. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Vitor Escaria (email available below). General contact details of provider: https://aquila.iseg.ulisboa.pt/aquila/departamentos/EC .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.