Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/73835 
Year of Publication: 
2006
Series/Report no.: 
ifo Working Paper No. 33
Publisher: 
ifo Institute - Leibniz Institute for Economic Research at the University of Munich, Munich
Abstract: 
This paper develops empirical growth models suitable for dual economies, and studiesthe relationship between structural change and economic growth. Changes in the structureof employment will raise aggregate productivity when the marginal product of labourvaries across sectors. The models in the paper incorporate this effect in a moreflexible way than previous work. Estimates of the models imply sizeable marginalproduct differentials, and indicate that the reallocation of labour makes a significantcontribution to the international variation in productivity growth.
Subjects: 
Structural change
dualism
wage differentials
TFP growth
JEL: 
O11
O40
Document Type: 
Working Paper

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