IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper


Listed author(s):
  • Debande, Olivier


    (European Investment Bank)

Registered author(s):

    This paper observes that de-industrialisation has been mostly relative in Europe, with industrial value added and employment shrinking in relative terms, but industrial value added growing in absolute terms âÃÂàat least until recently. Qualitatively, this relative de-industrialisation has been the result of a number of supply-side factors, including improving labour productivity; changing comparative advantage of countries; and trade liberalisation. Demand-side factors have played a role, too, as rising income levels and population ageing in developed countries have led to changing consumption patterns. Quantitatively, factors internal to advanced economies, such as productivity growth and changing consumption patterns, explain 70 percent of the downtrend in European industrial employment. External trade, including with low-wage economies, is less important, although its role has shown some signs of strengthening in the past decade. All in all, the causes of de-industrialisation do not reflect market failures, and the process should not be resisted. However, it may have transitory economic and social pain as a consequence, which may well warrant public intervention.

    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:
    File Function: Full text
    Download Restriction: no

    Paper provided by European Investment Bank, Economics Department in its series EIB Papers with number 3/2006.

    in new window

    Length: 19 pages
    Date of creation: 07 Apr 2009
    Handle: RePEc:ris:eibpap:2006_003
    Contact details of provider: Postal:
    100, boulevard Konrad Adenauer, L-2950 Luxembourg

    Phone: (+352) 43 79 1
    Fax: (+352) 43 79 68 895
    Web page:

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    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:ris:eibpap:2006_003. 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: (Polyxeni Kanelliadou)

    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.