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Sepp, Jüri
Kaldaru, Helje
Varblane, Uku
Year of Publication: 
Series/Report no.: 
Ordnungspolitische Diskurse 2017-01
Sectoral changes are nowadays an integral feature of economic development in all countries and hence gaining attention of several economists. Structural changes occur in different aggregation levels, from inter-industry change to inter-sectoral change. In this paper we are considering shifts at more aggregated sectoral level. The purpose of this paper is to analyze the specificities of the process of tertiarization of OECD countries. For this purpose, multidimensional analysis of branch-structure of OECD countries is implemented using STAN (Structural Analysis) database. First, an overview of the OECD averages is presented. Then cluster analysis is applied to explain how the countries are grouped on the basis of the similarity of branch-structure. Also the changes in the period 2000-2009 are examined. Finally, discriminant analysis is applied to determine the latent indicators that distinguish the branch structure of the OECD countries. Then, the typology of countries and its dynamics, including the process of convergence of income levels, can be viewed in a more general space of discriminant functions.
structural change
typology of countries
cluster analysis
discriminant analysis
Document Type: 
Working Paper
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