IMF Working Papers

Rethinking Development Policy: Deindustrialization, Servicification and Structural Transformation

By Manoj Atolia, Prakash Loungani, Milton Marquis, Chris Papageorgiou

September 28, 2018

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Manoj Atolia, Prakash Loungani, Milton Marquis, and Chris Papageorgiou. Rethinking Development Policy: Deindustrialization, Servicification and Structural Transformation, (USA: International Monetary Fund, 2018) accessed November 21, 2024

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Summary

This paper takes a fresh look at the current theories of structural transformation and the role of private and public fundamentals in the process. It summarizes some representative past and current experiences of various countries vis-a-vis structural transformation with a focus on the roles of manufacturing, policy, and the international environment in shaping the trajectory of structural transformation. The salient aspects of the current debate on premature deindustrialization and its relation to a middle-income trap are described as they relate to the path of structural transformation. Conclusions are drawn regarding prospective future paths for structural transformation and development policies.

Subject: Economic growth, Economic sectors, Employment, Financial crises, Income, Labor, Manufacturing, National accounts, Production, Productivity, Structural transformation

Keywords: Development policies, Employment, Export structure, Global, Growth diagnostics, High-productivity IT service, High-productivity service, Income, Labor-saving technology, Manufacturing, Middle-income economy, Middle-income trap, Net importer, Open economy, Premature deindustrialization, Productivity, Productivity economy, Push factors, Structural transformation

Publication Details

  • Pages:

    49

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Working Paper No. 2018/223

  • Stock No:

    WPIEA2018223

  • ISBN:

    9781484377499

  • ISSN:

    1018-5941