Structural change and relative demand for skilled workers: new evidence from the US manufacturing

2019 ◽  
Vol 28 (6) ◽  
pp. 1673-1696
Author(s):  
Aekapol Chongvilaivan ◽  
Jung Hur
Keyword(s):  
Structural Change ◽  
Wage Inequality ◽  
Capital Investment ◽  
Manufacturing Industry ◽  
High Tech ◽  
Skilled Workers ◽  
High Productivity ◽  
Relative Demand ◽  
The Us ◽  
Manufacturing Sectors

Abstract The present paper empirically investigates the effects of structural change—change in labor productivity fueled by labor reallocation across industries—on relative demand for skilled workers, using the NBER-CES Manufacturing Industry Database for the period of 1958–2011. The measures unveil that the US manufacturing sectors had experienced dramatic structural change since the 1990s when labor was reallocated from high-productivity to low-productivity industries. Furthermore, we find the evidence that the growth-reducing structural change impinges positively on relative demand for skilled workers and is therefore another driving force of rising wage inequality, apart from high-tech capital investment and outsourcing activities, in the US manufacturing sectors.

scholarly journals The impact of gainsharing in the automotive parts manufacturing industry of South Africa

2018 ◽  
Vol 21 (1) ◽  
Author(s):  
Robert W.D. Zondo
Keyword(s):  
South Africa ◽  
Capital Investment ◽  
Manufacturing Industry ◽  
Manufacturing Sector ◽  
Labour Productivity ◽  
Manufacturing Companies ◽  
High Productivity ◽  
Automotive Parts ◽  
Parts Manufacturing ◽  
The Impact

The majority of South Africans expect greater prosperity that can be accomplished through greater employment, high productivity and wage increases. Increased productivity can finance higher wages without burdening the customer with higher selling prices. Consequently, there should be strong co-operation between management and labour to improve productivity, thereby ensuring the survival of South African companies. To achieve this objective, organisations find themselves turning to their employees for creative suggestions and ideas on better ways of doing things. This sentiment underpins the concept of gainsharing. Gainsharing is a formula-based company-wide programme that offers employees a share in the financial gains of a company as a result of its improved performance. This motivation boosts a company’s productivity and radically reduces the cost of waste, spoilage, rejects and rework. This study examined the impact of a gainsharing programme on the improvement of labour productivity in the automotive parts manufacturing sector. The study investigated the production and related experience of two automotive parts manufacturing companies (referred to as A and B in this study) that have adopted a gainsharing strategy. The two companies operate in the eThekwini District Municipality in KwaZulu-Natal. It assessed if gainsharing is responsible for company labour productivity improvements. The investigation was achieved by collecting pre- and post-gainsharing quarterly data for spoilage, absenteeism, capital investment and labour productivity. Gainsharing improves labour productivity and reduces spoilage and absenteeism rates. In order to maximise performance, a comprehensive performance policy must be developed, which aligns pay (and other incentives) to performance. The study uncovered the strengths and weaknesses of gainsharing for labour productivity improvement in South Africa.

scholarly journals The State of Manufacturing in Pakistan

2015 ◽  
Vol 20 (Sspecial Edition) ◽  
pp. 205-224
Author(s):  
Rajah Rasiah ◽  
Nazia Nazeer
Keyword(s):  
South Korea ◽  
Vertical Integration ◽  
Manufacturing Industry ◽  
Value Added ◽  
High Tech ◽  
Manufacturing Sectors ◽  
History Of ◽  
Systematic Shift ◽  
Knowledge Intensive

The history of successful industrializers, such as South Korea and Taiwan, shows a systematic shift in the production structure from low- to high- value added activities in manufacturing and its resulting impact on agriculture, mining and services. Within manufacturing, the transformation is seen in both a movement from low-value added sectors, such as apparel making, to high-tech activities, such as automotive and electronics products, and, within particular industries, vertical integration into knowledge-intensive activities. Pakistan’s failure to engender the conditions to stimulate technological upgrading within its leading manufacturing industry of clothing, and a shift away to higher-value added industries is the prime reason why the country has not achieved rapid growth in GDP per capital over the long-term. This paper discusses Pakistan’s stagnation in manufacturing over the period 1960-2013 against the experience of the rapid industrializers of South Korea, Taiwan and Malaysia. Drawing on empirical evidence it argues that Pakistan requires a dynamic industrial policy that focuses on technological upgrading in its existing manufacturing sectors and the creation of competitive advantage in high value-added sectors if the country is to experience sustained long-term economic growth.

scholarly journals MANUFACTURING INDUSTRY TECHNOLOGIZATION WITHIN PRIORITIES OF THE SCIENTIFIC AND TECHNICAL COMPLEX DEVELOPMENT IN RUSSIAN FEDERATION

2018 ◽  
pp. 20-23
Author(s):  
A. E. Miller
Keyword(s):  
Large Scale ◽  
Manufacturing Industry ◽  
Oil And Gas ◽  
Work Place ◽  
High Tech ◽  
Industrial Complex ◽  
Skilled Workers ◽  
Field Development ◽  
Research Areas ◽  
Technical Complex

The development of the global economic system leads to the fact that modern production is becoming more technological and capital intensive, requires highly skilled labor and cannot provide work places for a large number of low-skilled workers. In addition, each high-tech work place creates several additional work places in other industries. Many technologies that were first used in industrial production were later used in other industries, increasing their efficiency and competitiveness and thus ensuring the overall economic development. Scientific research and development for the industry are becoming more transdisciplinary; hybrid research areas as well as cross-disciplinary technologies appear. The main problem is that the Russian industrial complex is not ready for unconditional acceptance of these global technological challenges for the most part organizationally, not economically. We need a simple and well-defined organizational and economic mechanism of technologizing of domestic production. Despite the current economic difficulties, there are enough sources of such technological transition funding. They are: entry into the large-scale investment and infrastructure projects on a national scale; participation in projects of field development of the leading oil and gas companies; the programmes of innovative development and R&D programmes of state companies, industrial state programmes; subsidies and grants of development institutions; private funds of enterprises, etc.

scholarly journals PROMOTING THE EXPORT OF HIGH TECHNOLOGY PRODUCTS BY THE US PROCESSING INDUSTRY

2021 ◽  
Vol 7 (2) ◽  
pp. 30-46
Author(s):  
V. N. Minat
Keyword(s):  
Manufacturing Industry ◽  
Evolutionary Dynamics ◽  
Practical Interest ◽  
Foreign Market ◽  
The United States ◽  
High Tech ◽  
Technology Products ◽  
The Us ◽  
Us Government ◽  
Tools And Methods

The trade policy pursued by the US government certainly provides as one of the most important measures to stimulate the export of those commodity groups that determine the development of the  country's  economy,  shape  its  innovative  nature  and  the  possibilities  for  the  expansionist promotion of American capital in the global, global geo-economic space. Such goods include high tech products of the American manufacturing industry, the forms, means, tools and methods of export  promotion  of  which  are  the  subject  of  this  study.  Having  studied  the  evolutionary dynamics  of  the  volume  and  structure  of  the  stimulating  elements  of  export  regulation  of American high-tech products  for  the  period  1946–2019,  we  identified  long-term trends characterizing the effective combination of assistance, encouragement, assistance and support to national exporters of the relevant commodity groups in the foreign trade activities of the United States. Based on the results of the study, conclusions are drawn about the unconditional priority of  stimulating  the  export  of  high-tech  products  of  the  US  manufacturing  industry  during  the entire  period  under  consideration,  characterized  by  a  flexible combination of the use of appropriate  forms,  means,  tools  and  methods  of  this  stimulation.  The  author  emphasizes  the primacy of expediency and efficiency in the choice of directions for the expansionary promotion of high-tech products of the American economy to the foreign market, which, of course, is of practical interest for Russian use.

scholarly journals Effect of Environmental Regulations on Foreign Direct Investment: Empirical Evidence From China

2021 ◽  
Author(s):  
Dongbei Bai ◽  
Ling Cai Liu ◽  
Shah Fahad ◽  
Zulfiqar Ali Baloch
Keyword(s):  
Foreign Direct Investment ◽  
Environmental Regulation ◽  
Technological Innovation ◽  
Direct Investment ◽  
Capital Investment ◽  
Manufacturing Industry ◽  
Foreign Capital ◽  
Dynamic Effect ◽  
High Tech ◽  
The Impact

Abstract The industry selection effect arising from the impact of environmental regulation on Foreign Direct Investment (FDI) in China is heterogeneous. Based on an extension of the principal-agent Game Theory, this paper constructs a system of simultaneous equations to study the dynamic effect of environmental regulation on Chinese FDI in terms of industry selection decisions, by utilizing panel data from 2005 to 2014 in China. Results of this study show that environmental regulation promotes the technological innovation within the Chinese industry and attract greater foreign capital investment. While the influx of capital will furthermore boost technological progress, a benign interaction effect may be observed between technological innovation and foreign capital. The implementation of the new environmental policy will intensify game strategies between managers and enterprises. Enhanced co-ordination activity within industrial organizations will generate more effective organizational and technological innovation, thereby attracting a large flow of FDI, Phase analysis suggests that the policy of market borrowing technologies is more effective. In addition, industry sample results highlight a compensation effect of technological innovation in the raw materials and manufacturing industry, though environmental regulation of high-tech industries will generate an offset effect with respect to technological innovation. Industries that show the strongest technological and innovative prospects will prove the most attractive for foreign capital investment.

Determinants of Employment of Non-Production Workers in Indian Manufacturing Industry: A Regression Analysis

2016 ◽  
Vol 3 (1) ◽  
pp. 40-63
Author(s):  
Bharat Singh
Keyword(s):  
Manufacturing Industry ◽  
Stepwise Regression ◽  
Economic Reforms ◽  
Manufacturing Industries ◽  
Regression Coefficients ◽  
Policy Framework ◽  
Effective Control ◽  
Skilled Workers ◽  
Relative Demand ◽  
Made In

The owners of capital have an inherent tendency and interest to exercise effective control over the production process. This is considered necessary to maximize their profit in a given situation. The process of economic reforms as initiated since July 1991 on a firm and bold footing in India have facilitated the this process of increased control of owners of capital over the production processes through their representatives, the managers, professionals and technocrats. This behavior of the firms has changed the demand for non-production and production workers in a firm or industry. Using the ASI data at 2-digit level an attempt has been made in this paper to identify some important determinants which might have influenced the demand for nonproduction workers or skilled workers in Indian manufacturing industries. For this purpose the stepwise regression coefficients was estimated which have explained changes in the ratio of non-production to production workers (NP/P). It was observed that the variables identified as important determinants of changes in the relative demand for the non-production workers (skilled workers) in Indian manufacturing industries exert their influence in different directions and in varying degrees on a particular industry and across industries also. Hence the policies formulated and implemented to augment the level of productivity and employment should be industry specific under the broad industrial policy framework

Evaluating the security of the fiscal and budgetary system of the Kemerovo Oblast

2020 ◽  
Vol 16 (5) ◽  
pp. 966-979
Author(s):  
O.B. Sheveleva ◽  
E.V. Slesarenko
Keyword(s):  
Socioeconomic Development ◽  
Critical Value ◽  
Economic Security ◽  
Energy Market ◽  
High Tech ◽  
Regional Competitiveness ◽  
Kemerovo Oblast ◽  
Manufacturing Sectors ◽  
Fiscal System ◽  
Integral Indicator

Subject. The article deals with the security of the fiscal and budgetary system in resource-based regions during highly volatile prices in the global energy market external economic, political, technological and epidemiological shocks. Objectives. The study is to detect hazards in the fiscal and budgetary system of resource-based regions. Such hazards really put the regional competitiveness and economic security at peril. Methods. The article evaluates the security of the fiscal system in the Kemerovo Oblast through the integral indicator and the threshold (critical) value. Results. We found key threats to the fiscal and budgetary system of the Kemerovo Oblast, which undermine the regional competitiveness and economic security. Conclusions and Relevance. Authorities shall comprehensively attempt to create the environment for developing manufacturing sectors in the region, especially science-intensive and high-tech production enterprises by alleviating infrastructure and administrative constraints for business, raising the finance of science and innovation from the State and mobilize investors' resources, lure them to finance prioritized lines of the regional economic development. The findings and conclusions can be used to outline principles of the region's economic policy, socioeconomic development strategies of the region economy.

Artificial Intelligence as a Technological Innovation to Accelerate Economic Development

2019 ◽  
Vol 12 (3) ◽  
pp. 125-133
Author(s):  
S. V. Shchurina ◽  
A. S. Danilov
Keyword(s):  
Artificial Intelligence ◽  
Economic Development ◽  
Technological Innovation ◽  
Manufacturing Industry ◽  
New Technologies ◽  
Retail Trade ◽  
High Tech ◽  
Industrial Complex ◽  
Technological Gap ◽  
The Government

The subject of the research is the introduction of artificial intelligence as a technological innovation into the Russian economic development. The relevance of the problem is due to the fact that the Russian market of artificial intelligence is still in the infancy and the necessity to bridge the current technological gap between Russia and the leading economies of the world is coming to the forefront. The financial sector, the manufacturing industry and the retail trade are the drivers of the artificial intelligence development. However, company managers in Russia are not prepared for the practical application of expensive artificial intelligence technologies. Under these circumstances, the challenge is to develop measures to support high-tech projects of small and medium-sized businesses, given that the technological innovation considered can accelerate the development of the Russian economy in the energy sector fully or partially controlled by the government as well as in the military-industrial complex and the judicial system.The purposes of the research were to examine the current state of technological innovations in the field of artificial intelligence in the leading countries and Russia and develop proposals for improving the AI application in the Russian practices.The paper concludes that the artificial intelligence is a breakthrough technology with a great application potential. Active promotion of the artificial intelligence in companies significantly increases their efficiency, competitiveness, develops industry markets, stimulates introduction of new technologies, improves product quality and scales up manufacturing. In general, the artificial intelligence gives a new impetus to the development of Russia and facilitates its entry into the five largest world’s economies.

Study of Structural Change in Paddy Agriculture under Reorganization of Direct Payment Policy

Impact ◽  
2020 ◽  
Vol 2020 (6) ◽  
pp. 55-57
Author(s):  
Kunio Nishikawa
Keyword(s):  
Structural Change ◽  
Rice Production ◽  
Direct Payment ◽  
Japan Society ◽  
Payment Policy ◽  
The Us ◽  
Shed Light

Rice has long been an integral part of Japan's culture and economy, as well as an important commodity in Japan-US relations, but farmers in Japan are concerned that trouble is afoot due to competition from countries such as the US, where rice production is more competitive, as well as reorganization of direct payment policy. The question is, how can rice production in Japan remain competitive amidst such competition? One researcher is seeking to shed light on the situation and explore how paddy agriculture in Japan can potentially flourish. Dr Kunio Nishikawa is based at Ibaraki University, Japan, whose Japan Society for the Promotion of Science (JSPS)-funded work is exploring the discrepancy in crop output in the US versus Japan, and seeking to find new ways to boost Japan's agriculture.

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