Determinants of structural change in food exports from developing countries

2009 ◽  
Vol 23 (2) ◽  
pp. 94-115 ◽  
Author(s):  
Juthathip Jongwanich ◽  
Nedelyn Magtibay-Ramos
Author(s):  
Codrina Rada

Macroeconomic models are built on causal structures that reflect choices made with respect to the variables that are solved from the model and those assumed exogenous. These choices are the ‘closures’ of the model. Differences in closures can lead to stark qualitative differences in the model’s solutions of macroeconomic equilibrium, and should therefore reflect the basic structure of the economy. In order to highlight these differences, closures are discussed first in the context of one-sector models. Closing mechanisms become even more consequential for models that formalize economies with multiple sectors. The second part of the chapter thus extends the discussion to multi-sector models and, particularly, to dual economy models. These models are especially relevant for understanding the process of structural change in developing countries and its implications for growth and development.


Author(s):  
André Pineli ◽  
Rajneesh Narula ◽  
René Belderbos

This chapter provides a comprehensive overview of the extant knowledge linking activities of multinational enterprises (MNEs) and structural change in developing countries. The balance of payments approach, which focuses on investment, is criticized. The exact configuration of the MNE will result from the interaction between the ownership of assets of the firm and the location-specific assets of countries, and the extent to which the firm perceives it to be in its best interest to organize these assets within the firm boundaries, that is, to internalize the market. The East Asian experiences suggest that FDI is just one of the possible vehicles of knowledge acquisition, and that the investment development path could be redefined in terms of technological catching-up. Cross-country differences in the FDI–structural change nexus seem to be associated with the financial development and the level of control of corruption of the countries but not with trade openness.


Author(s):  
Antonio Andreoni

Technical change is a major driver of structural transformation and industrial mutations within and across sectors of the economy. We show how, by deploying different concepts of sector—commodity/product, production/technology, or location-based taxonomies—we can better capture the heterogeneity of production activities, shifting sectoral boundaries, industrial mutations, sources of technical change, and non-linear patterns of structural change. These are important dimensions for industrial policy targeting. We analyse these technological dynamics with an industrial ecosystem framework structured around several sectoral value chains underpinned by different technology platforms. Within this framework, we highlight the role of digital technologies alongside other key enabling technologies and discuss technological change trajectories and cross-sectoral diversification patterns. Against this background, we discuss the specific challenges of deploying digital technologies effectively faced by developing countries. To address these challenges and capture windows of digital opportunity, industrial policy must be articulated along both sectoral and cross-sectoral mission-oriented strategies.


2017 ◽  
Vol 6 (1) ◽  
pp. 27-58 ◽  
Author(s):  
Sèna Kimm Gnangnon

This article examines the relevance of export-upgrading strategy (export quality improvement and export diversification) in developing countries for the structural change in tax revenue (trade tax revenue versus domestic tax revenue). The empirical analysis suggests that the lower the degree of export upgrading (higher export concentration or low quality of export products) the higher the extent of structural change in tax revenue, that is, a tax transition reform. In the meantime, the effect of export upgrading on the extent of structural change in tax revenue appears to be conditioned on the degree of countries’ openness to international trade. JEL Classification: H1, F14, O1


Author(s):  
Yonni Angel Cuero Acosta ◽  
Isabel Torres Zapata ◽  
Utz Dornberger

The current increase of commodity prices prompts the question regarding the extent to which the growth of primary industries is used as a basis of industrial development. Empirical evidence suggests the development of Technology-Intensive Suppliers (TIS) has played an important role in the industrialization process of the Nordic countries, Canada, and Australia. The development of local TIS may contribute to both reinforcing the industrial base and supporting structural change in developing countries. Therefore, it may provide a way to advance from natural resource dependence towards knowledge-based industrial activities. The TIS products are created under tailor-made concepts, giving solutions to their customers. TIS use knowledge and customer information to create innovation. These firms enhance value chains improving customer's competitive advantages (Dornberger & Torres, 2006). The relationship between the primary sector and its suppliers of technology can be seen as a backward linkage. Sectors with linkages of this kind use inputs from other industries (Hirschman, 1958). Hence, a fundamental goal of research in the context of developing countries is to understand the development of TIS and analysis of their improvement as a result of entrepreneurship intervention. This chapter covers the relevance of TIS firms in developing countries. TIS companies are frequently labeled as Micro-, Small-, and Medium-Sized Enterprises (MSMEs). In conclusion, the findings highlight the need to pay more attention to TIS organizations in developing economies. In Latin America, TIS firms contribute to the employment and diversification of the economic structure of the region through value-added products and services.


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