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Pattern and determinants of structural transformation in Africa

Author

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  • Raghbendra Jha
  • Sadia Afrin

Abstract

This paper models the evolution and determinants of the shares of agricultural, manufacturing and services sectors' value added for 53 African countries for 1970-2014 years. A number of alternative estimation techniques were used. These included pooled OLS with clustered standard errors, quantile regressions and panel data techniques. However, the quantile regressions do not provide much additional traction over and above the OLS estimates. There are large gaps in the data for many countries for several variables. Policy conclusions are derived from the viewpoint of increasing the shares of the services and, particularly, the manufacturing sector in value added.

Suggested Citation

  • Raghbendra Jha & Sadia Afrin, 2016. "Pattern and determinants of structural transformation in Africa," Departmental Working Papers 2016-01, The Australian National University, Arndt-Corden Department of Economics.
    • Handle: RePEc:pas:papers:2016-01
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    File URL: https://acde.crawford.anu.edu.au/sites/default/files/publication/acde_crawford_anu_edu_au/2016-05/2016_01_jha_patterns_paper5_y_10mar16version_0.pdf
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    References listed on IDEAS

    as
    1. Echevarria, Cristina, 1997. "Changes in Sectoral Composition Associated with Economic Growth," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 38(2), pages 431-452, May.
    2. Era Dabla-Norris & Alun H. Thomas & Rodrigo Garcia-Verdu & Yingyuan Chen, 2013. "Benchmarking Structural Transformation Across the World," IMF Working Papers 13/176, International Monetary Fund.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Africa; Structural Transformation; Pooled OLS; Quantile regression; Panel;

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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