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Structural Change, Drivers, and Growth
Conference paper

Structural Change, Drivers, and Growth

Shu-Shiuan Lu and Chang-Ching Lin
2014

Abstract

Labor structural change Drivers Growth Two-sector model Measurement
Drivers of labor movement from the agricultural to the non-agricultural sectors critically determine the contribution of structural change in labor to economic growth. This paper adopts a model incorporating three drivers of structural change to identify the predominant driver of such labormovement and explores the driver' s contribution to growth in different stages of development. The results provide evidence supporting the labor pull hypothesis—that labor movement out of agriculture is first triggered by non-agricultural productivity growth; moreover, labor pull is the most effective driver in generating growth gains from labor structural chang

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