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Structural Change in Multi-Sector Economies by serenaabomo88 is a document available to read on EtoBox.
The paper presents a multi-sector growth model that incorporates nonhomothetic, constant elasticity of substitution preferences to explain structural change in economies, particularly the decline of agriculture, the evolution of manufacturing, and the rise of services. Using household-level data from the U.S. and India, as well as aggregate data from 39 countries, the authors find that income effects largely drive sectoral reallocation, accounting for over 73% of changes in employment. The model
- Author
- serenaabomo88
- Language
- EN