Timmers Food Security Ending Hunger

Ekonomika Preduzeca, 2012

Growth and structural change are strongly interrelated. Once we abandon the world of homothetic preferences, neutral productivity growth with no systematic sectoral effect, perfect mobility, and markets that adjust instantaneously, structural change emerges as a central feature of the process of development (Simon Kuznets, 1957)

In this short essay, we argue that there is a need to re-examine the narrative of structural transformation as a universal phenomenon that is expected to unfold in a linear way across time and space. The received wisdom in development economics largely neglects the political and historical roots of capitalist development and remains rather incomprehensive in its understanding of the contemporary nature of transformation taking place in the South due its fixation of gaze from a North-centric lens. Analyzing the particular nature of the processes of development specific to the South brings its own set of challenges that need to be understood in its own subjective context. Link-

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What is driving structural transformation? Some argue that it can be driven by dierent income elasticities, and others say that dierences in productivity growth are the source of labor reallocation. We present a unifying framework which allows us to quantify the importance of supply and demand mechanisms for structural transformation and see how these forces change over time.

Emerging Markets Finance and Trade, 2011

Structural transformation is a key feature of economic development. Developed countries all followed the same process of structural transformation. This paper asks whether developing countries also follow a similar process. Three key findings emerge from the detailed analysis. First, developing countries are following different paths of structural transformation that deviate from those of developed countries in different ways. Second, the paths of the subcontinents of Africa, Asia, and Latin America are distinct, and there is great heterogeneity within each region. Third, many countries experience substantial structural transformation during periods of economic stagnation or even decline.

The paper presents a theory of the industrial transformation amongst sectors along the balanced growth path equilibrium, using endogenous growth theory. Allowing only a slight upward trend in the productivity of the human capital sector, combined with ascending degrees of human capital shares of sectoral output, in say, agriculture, manufacturing and services, output gradually shifts relatively over time from agriculture to manufacturing and to services. Abstracting from international trade theory, sectors intensive in the factor that is becoming relatively more plentiful …nd their relative outputs expanding. Adding more sectors of greater human capital intensity causes labor time to decrease within each sector, as shown for agriculture, and in general for any number of sectors. The number of sectors is also allowed to depend endogenously on the human capital productivity level.

The Oxford Handbook of Structural Transformation

This chapter examines the relationship between competitiveness and structural transformation. It first provides an overview of the similarities and complementarities that link the competitiveness approach with the new literature on structural transformation, along with the differences between them, before discussing the role of competitiveness in economic development. The focus is on competitiveness as defined by the productivity-based view, along with drivers of competitiveness, the goals and motivations for economic policy aimed at improving competitiveness, and the new structural economics that offers a novel set of recommendations for how economies can speed up the process of structural transformation. The chapter identifies an integrated view that captures both the role of competitiveness fundamentals and industrial composition in driving productivity and prosperity outcomes.

World Bank: Research & Policy Briefs (Topic), 2016

In developing countries, structural transformation started much later, mostly in the 1900s. The structural transformation of the agricultural sector has been characterized by the relative decline of basic agriculture; the rising importance of agribusiness, which includes the value added for agro-related industries and for agricultural trade and distribution services; as well as the growing share of high-value agricultural products in international trade with respect to traditional exports. Agricultural structural transformation has been shaped by three interrelated processes: improvements in productivity; change in composition in production; and change in mode of commercialization.

Economic Themes, 2015

The concepts of structure and structural changes can be applied in many different ways. Relatedly, the roughest distinction is reflected in two approaches: development economics approach and econometric approach. This paper will rely on the development economics, because it seems that the econometric approach oversimplifies the structural analysis and structural changes. Development economics, which evolved through the interaction between theoretical research and empirical studies, deals with many issues related to structure and growth in less developed (developing) countries. In development economics, the economic structure analysis is observed mostly through micro and macro approach. The paper relies on a macroeconomic approach which views the economic development as a set of interrelated long-term processes of structural transformation accompanying the growth. Unlike the neoclassical approach, which makes a simple distinction of the economy to sectors producing tradable goods (wi...

2009

Trends in Structural Transformation, 2023

Many countries have escaped poverty by moving their resources from agriculture into the manufacturing sector. The emergence of research to find alternatives to structural transformation, especially in the context of low- and middle-income countries, has sprouted discussions among many scholars. Technological advancement and trends in the market could play a shifting role in new approaches to structural transformation. Other sectors, such as the service sector, might be proven as an alternative to the economic growth of a particular country. In this analysis, I discuss two mainstream theories of structural transformation: Artur Lewis’ theory and Nicholas Kaldor’s recommendation to focus on the manufacturing sector. These theories will explain why structural transformation is typically done in such an approach and show the example of structural transformation from South Korea. In the next section, I will continue to discuss the changes in the global context over time and how they affect the typical structural transformation done in previous decades by introducing Kuznets’ modern economic growth as the underlying theory with several examples. The text concludes with an explanation of the inherent characteristics of structural transformation.