Structural transformation trajectories: Evidence from successful exporting countries

2021 ◽  
pp. 48-65
Author(s):  
A. A. Gnidchenko

This paper identifies and examines several success criteria for the structural transformation of exports. Some detailed facts for the leading countries in structural transformation are presented, and the paper is the first in social sciences literature to calculate the Fréchet distances between the structural transformation trajectories according to various criteria. The paper introduces the concept of structural transformation trajectory that is defined as the path in the two coordinates — per capita income and one of the success criteria for the structural transformation of exports. Based on the brief review of the literature, four criteria for the empirical research are selected: (i) an increase in the ratio of exports of capital to consumer products, (ii) an enhancement of the export share of high-tech products, (iii) a decrease in export concentration, and (iv) an expansion of export complexity. In most cases, countries leading structural transformation succeed due to a limited number of specific factors, such as foreign direct investment in a limited number of sectors, participation in the assembly of telecom products, automobiles or similar consumer products, and re-export of products from other countries. However, high per capita income growth rates are typically observed in countries with high coherence of the success criteria for the structural transformation of exports, that is, in countries that made progress on a whole range of criteria.

2021 ◽  
pp. 48-65
Author(s):  
A. A. Gnidchenko

This paper identifies and examines several success criteria for the structural transformation of exports. Some detailed facts for the leading countries in structural transformation are presented, and the paper is the first in social sciences literature to calculate the Fréchet distances between the structural transformation trajectories according to various criteria. The paper introduces the concept of structural transformation trajectory that is defined as the path in the two coordinates — per capita income and one of the success criteria for the structural transformation of exports. Based on the brief review of the literature, four criteria for the empirical research are selected: (i) an increase in the ratio of exports of capital to consumer products, (ii) an enhancement of the export share of high-tech products, (iii) a decrease in export concentration, and (iv) an expansion of export complexity. In most cases, countries leading structural transformation succeed due to a limited number of specific factors, such as foreign direct investment in a limited number of sectors, participation in the assembly of telecom products, automobiles or similar consumer products, and re-export of products from other countries. However, high per capita income growth rates are typically observed in countries with high coherence of the success criteria for the structural transformation of exports, that is, in countries that made progress on a whole range of criteria.


1986 ◽  
Vol 14 (12) ◽  
pp. 1457-1461 ◽  
Author(s):  
Samar K. Datta ◽  
Jeffrey B. Nugent

2019 ◽  
Vol 4 (2) ◽  
pp. 112-125
Author(s):  
Sunday Osahon Igbinedion ◽  
Clement Atewe Ighodaro

This study examined migrants’ remittances, public expenditure on education and their implications for educational development in Nigeria, using Secondary School enrolment rates (SSER) as a proxy for the latter for the period 1981 to 2017. The study utilised Cointegration and error correction modelling approach in order to minimise the likelihood of producing explosive regression estimates. The empirical findings of the study indicate that Migrants’ remittances received, Public expenditures on Education and Per Capita Income growth rate exert statistically significant positive impacts on educational development in the country, while the association turned negative in the case of population growth rate. The fundamental role played by both migrant’s remittances received and Public expenditures on Education in stimulating educational development was evidently established in the study. The study therefore recommends, among others, the adoption of strategic measures that will help boost the rate of school enrolment in the country by encouraging migrants’ remittances through continuous engagement of Nigerians in the Diaspora in the country’s political and socio-economic affairs, progressive increment in budgetary allocations to the nation’s education sector, as well as enhancing the per capita income of the country through investments in key sectors of the nation’s economy.


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