Table 1
Growth of GDP and Major Sectors in India: 1950-51 to 2003-04 (Average annual growth, per cent per annum) 1951-52 1981-82 1982-93 1997-98 2002-03 a 2003-04 b
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This paper revisits the role of manufacturing and services in economic development in the light of the following new facts: (a) a faster growth of services than that of manufacturing in many developing countries (DCs). (b) The emergence of Òde-industrialisationÓ in several DCs at low levels of per capita income. (c) Jobless growth in the formal sec...
Contexts in source publication
Context 1
... Indian economy has expanded at a rate of 5.5% to 6% per annum over the last two decades. This is a considerable achievement in itself in that the economic growth rate in the previous 30 years was only 3.6% per annum (Table 1). Further, the world economy had slowed down during the last 20 years compared with the period 1960 to 1980. ...
Context 2
... VII will address the policy implications of the analysis, particularly for employment and work, comparative role of manufacturing and services in economic growth and the informal economy. Tables 1 to 3 provide some of the basic empirical information on the topics in the title of this section. First, we note that during the 1990s, the Indian economic growth begins to diverge from Kuznets's historical pattern for today's developed countries. ...
Context 3
... the results of Table 8 need to be supplemented by estimating similar equations for services and agriculture. Tables 9 and 10 report on the analysis on Kaldor's laws carried out for a cross- section of Indian states for the period 1993-1994 to 1999-2000. This analysis is also presented separately for the organized and unorganized manufacturing sectors. ...
Context 4
... the diagnostics tests are not satisfied in the case of agriculture. Table 10 reports the results of the analysis carried out separately for data on the registered and unregistered manufacturing sector for which the Ministry of Industry provides the relevant data. Unregistered manufacturing does not necessarily include all informal sector manufacturing production. ...
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... These conclusions recommend that communal plans that give practical or fiscal backing to manufacturers may gain from data that could permit industries with lofty job-creation prospective to be recognized and beleaguered for extraordinary backing. A number of researchers have annotated that fresh industries as well as/ otherwise petite industries have been answerable for a suspiciously hefty fraction of network formation (Dasgupta and Singh, 2005), but the conclusions of this research recommend merely half-done back up. Surrounded by the illustration, diminutive industries (fewer than 20 workers) had an elevated rate of employ augmentation in excess of the precedent seven years than their superior complements. ...
Manufacturing industries in Ethiopia's urban areas have been overgrowing in the last few decades, which have led to ever-mounting demand for labor, capital, and raw materials. Two questionnaires were independently administered with a representative random sample of 149 members from the local manufacturing industries and 20 high-ranking officials from the study area to answer research questions. Moreover, input-output model was used comprehensively in guesstimating indirect economic impacts of a diversity of activities. Prominent findings from the study indicate that economic impact was extensively dispersed throughout the existing sectors.
... Strong convergence exists between service and manufacturing sectors in India. Amirapu and Subramanian (2015) observe that the service subsectors like Finance, Insurance and Real estate shares many of the intrinsic worth of manufacturing sector such as high productivity, international and domestic convergence in productivity etc… Hence, both manufacturing and services can significantly affect the economic growth of a country (Dasgupta and Singh, 2005). Contrary to this, Gangopadhyay et al. (2008) show that that the penetration of Information Technology, the flagship service component, in Indian manufacturing has been less than the required level. ...
The present research, using the state level net domestic product (NDP) data, reviewed the growth experiences of India in terms of the relative performance of her state economies and their relative positions within the country's landscape during the pre-recessionary and post-recessionary period. The analysis revealed that the global recession of 2008 affected almost all state economies in India, though its impact was uneven. Services sector weathered the crisis much better than manufacturing and agriculture sectors because of which the economy firmly entered the recovery path. However, the role and importance of manufacturing in rebounding to recover the economy from the disruptive change of recession is most evident from the findings. The study concluded that emerging economies like India should not bypass manufacturing with services for ensuring further bounce back in the near future and long run
... Even though modern segments of the service sector can also promote acceleration of economic growth, the role of industry remains critical for creating jobs and generating domestic demand in the economy [28]. Industry ensures the development of exports and relatively higher salaries. ...
The development of the modern technological revolution and evidence of a deepening civilization crisis make us pose the question about the prospects of the social and economic transformation of the modern society under the influence of certain factors. S. Bodrunov approaches the resolution of this problem from the historical perspective on public development. He relies on methodology of the classical political economy and considers changes in the material basis of production as the main drivers of upcoming changes. Technological shifts lead to changes in the content of human activity and opportunities for the satisfaction of human wants. They also result in a gradual removal of humans from immediate production and cause shifts in the entire social structure. The author shows that the next stage in the development of the modern civilization will be the formation of a new type of public order–the New Industrial Society of the Second Generation (NIS.2), which stipulates gradual creation of prerequisites for transitioning from the economy to the noonomy. The noonomy constitutes a non-economic way of satisfying humans’ reasonable wants. It will serve as the material foundation for forming and ensuring the functionality of the noosociety. The article determines that humanitarian culture as a timeless value exerts crucial influence on the positive development of transformation processes considered under the theory of noonomy.
... Vários têm sido os alertas dos especialistas no tema, sobre os prejuízos envolvidos nesse processo. Embora o setor de serviços ganhe espaço ao longo do tempo nas economias mais desenvolvidas, e embora haja trabalhos mostrando a importância do crescimento da participação dos serviços de comunicação e informação (ICT) como engrenagem do crescimento (Dasgupta;Singh, 2005), as dificuldades colocadas para o desenvolvimento pela desindustrialização prematura são amplamente reconhecidas. ...
... Vários têm sido os alertas dos especialistas no tema, sobre os prejuízos envolvidos nesse processo. Embora o setor de serviços ganhe espaço ao longo do tempo nas economias mais desenvolvidas, e embora haja trabalhos mostrando a importância do crescimento da participação dos serviços de comunicação e informação (ICT) como engrenagem do crescimento (Dasgupta;Singh, 2005), as dificuldades colocadas para o desenvolvimento pela desindustrialização prematura são amplamente reconhecidas. ...
Resumo O artigo contribui para o debate desenvolvimentista no Brasil, a partir de dados obtidos na matriz de insumo-produto brasileira de 2014. Uma vez estimada a matriz com dados do IBGE, o artigo calcula os impactos de aumentos de investimento em termos de efeitos de encadeamento, geração de empregos, salários, produção e requisitos de importações, dos 20 setores nos quais o IBGE divide a economia brasileira, tirando conclusões sobre o papel da indústria na alavancagem do desenvolvimento econômico.
... This fundamental idea is the content of a series of recent studies as McKinsey (2012), Naudé & Szirmai (2012) and Westkämper (2014). Empirical studies based on Kaldor's Law argue that the manufacturing sector in developing countries represents the engine of economic growth and development (Chakarvarty 2008;Dasgupta & Singh, 2005;Jeon, 2008). Loto (2012) notes that manufacturing represents a high export sector and pays relatively high wages, a main driver for employment in other sectors, including services, a key source of investment in research and development. ...
The manufacturing industry is a key sector in many national economies and is involved in creating sustainable economic growth. At the same time, it is a sector sensitive to internal and external impacts that result in fluctuations in the economic cycle, copying its development or even outstripping the development of economic cycles. The main objective of this contribution was to identify the relationship between manufacturing and GDP, which represents the economic cycle in European Union countries. The time series of selected indicators of the manufacturing industry and GDP from the Eurostat database for Q1 2000-Q4 2016 were used for analysis purposes. An analysis of 296 time series with a quarterly periodicity from 22 EU countries (including the United Kingdom) was performed. The results of analyses indicate that the processing industry is a sector with significant cyclical behavior. In most countries, production and sales in the manufacturing industry behaved as concurrent indicators, changes in production and sales almost immediately reflected in the growth or decline in GDP. Labor market indicators have been shown to be delayed cyclical indicators. Changes in the economic development of the countries have a strong impact on employment, the remuneration of employees and the number of hours worked in the sector. Strong cyclical industries must be constantly monitored, as negative changes in these sectors will automatically exacerbate the economic cycle recession. The results of our analyses represent a valuable platform for economic policy makers and regional strategic plans.
... Whereas disaggregated analyses proved that not all services retard economic growth, consumer and government services have a negative impact on GDP growth while producer services have a positive impact on GDP growth. Singh and Dasgupta (2005) investigated whether the service sector would be the new engine of economic growth in India. They calculated six simple linear growth equations and found that all indicated a high correlation between sectoral and overall growth. ...
This study develops a new approach for testing the validity of unbalanced growth theory as well as determining the sectoral priorities for investment in Indonesia over the period 1995–2015. To this end, the high linkage sector(s) is identified through the input–output framework. Afterward, two different approaches, multiple linear regression and multi-layered perceptron (MLP) artificial neural network, are applied to capture the linear and nonlinear relationships between the extracted engine sectors and gross domestic product growth. Given that the detection of sector ranking is crucial for preparing a proper development plan, in the same vein we apply two types of feature-ranking methods (namely, stepwise regression and ant colony optimization (ACO-MLP based). The findings suggest a consistent relationship between the theory and economic growth in both linear and nonlinear models. However, the nonlinear model outperforms its competitor. In general, we find that the manufacturing sector is the most strategic sector in Indonesia, as it has been ranked first in both linear and nonlinear forms. Hence, its development path could be reinforced by more investment in this leading sector and then followed by investment in construction, hotels and restaurants, and agriculture.
... W przemyśle bowiem, w związku z absorpcją postępu technicznego, rejestrowany jest stosunkowo wysoki wzrost wydajności (Kaldor, 1967). Dzięki ujawniającym się silnie w przemyśle efektom skali i rozproszenia, podatności na handel międzynarodowy (Dasgupta, Singh, 2005), a także wchłanianiu zasobów słabo wykwalifikowanej siły roboczej (Rodrik, 2016: 19-20) zwiększanie udziałów przemysłu niesie ze sobą duże możliwości prowzrostowe. Zaawansowanie technologiczne stanowiło o wzrostach produktywności w przemyśle oraz w przeważającej mierze o spadkach zatrudnienia w tym sektorze (Rodrik, 2016: 4, 27). ...
... Wskazuje się, że takie usługi, jak: usługi technologii informacyjnych, finansowe, handel detaliczny, telekomunikacja, usługi biznesowe, transport wywołują silne efekty rozproszenia w gospodarce, tworzą nowe produkty i procesy, mają często wpływ na handel (Dasgupta, Singh, 2005: 28) i w ten sposób mogą mieć swój istotny udział w zwiększeniu wydajności. Z drugiej strony wzrost poziomu niektórych usług wydaje się zależeć od skali rozwoju przetwórstwa przemysłowego (Dasgupta, Singh, 2005). Jednak duża heterogeniczność sektora usług sprawia, że jego analizy, prowadzone na wysokim poziomie zagregowania, są mało użyteczne w dostarczaniu wiedzy na temat istoty usług (Piketty, 2015: 116) i ich udziału w zmianach wydajności poszczególnych gospodarek. ...
... Zjawisko to, nazywane w literaturze dezindustrializacją, ujawnia się również na stosunkowo niskich poziomach PKB per capita i towarzyszy mu często przy znacznych przyrostach PKB. Obserwowany jest wówczas bezzatrudnieniowy wzrost gospodarczy (Dasgupta, Singh, 2005). ...
Artykuł oddaje zróżnicowaną problematykę przemian strukturalnych w gospodarkach rynkowychkrajów wysoko rozwiniętych, które przeszły silną industrializację, oraz w gospodarkach rynkowych krajówrozwijających się, które przedwcześnie wchodzą w dezindustrializację. Ukazanie w warstwie poznawczejopracowania najistotniejszych kwestii przemian strukturalnych pozwala – w jego warstwie empirycznej –podjąć próbę zarysowania możliwych interpretacji dotyczących efektów zmian struktury zatrudnienia w badanychkrajach. Za pomocą sześciosektorowego podziału gospodarki przedstawiono zmiany udziałów zatrudnieniaw wybranych gospodarkach w latach 1970–2014. Przy użyciu prostych współczynników statystycznychzobrazowano korelację między udziałami zatrudnienia w przemyśle przetwórczym i usługach rynkowycha poziomami PKB per capita oraz określono współczynniki determinacji. Zasadniczym celem pracy jest wyeksponowanieprzedwczesnej dezindustrializacji gospodarki Polski i wskazanie potrzeby jej reindustrializacji.
... W przemyśle bowiem, w związku z absorpcją postępu technicznego, rejestrowany jest stosunkowo wysoki wzrost wydajności (Kaldor, 1967). Dzięki ujawniającym się silnie w przemyśle efektom skali i rozproszenia, podatności na handel międzynarodowy (Dasgupta, Singh, 2005), a także wchłanianiu zasobów słabo wykwalifikowanej siły roboczej (Rodrik, 2016: 19-20) zwiększanie udziałów przemysłu niesie ze sobą duże możliwości prowzrostowe. Zaawansowanie technologiczne stanowiło o wzrostach produktywności w przemyśle oraz w przeważającej mierze o spadkach zatrudnienia w tym sektorze (Rodrik, 2016: 4, 27). ...
... Wskazuje się, że takie usługi, jak: usługi technologii informacyjnych, finansowe, handel detaliczny, telekomunikacja, usługi biznesowe, transport wywołują silne efekty rozproszenia w gospodarce, tworzą nowe produkty i procesy, mają często wpływ na handel (Dasgupta, Singh, 2005: 28) i w ten sposób mogą mieć swój istotny udział w zwiększeniu wydajności. Z drugiej strony wzrost poziomu niektórych usług wydaje się zależeć od skali rozwoju przetwórstwa przemysłowego (Dasgupta, Singh, 2005). Jednak duża heterogeniczność sektora usług sprawia, że jego analizy, prowadzone na wysokim poziomie zagregowania, są mało użyteczne w dostarczaniu wiedzy na temat istoty usług (Piketty, 2015: 116) i ich udziału w zmianach wydajności poszczególnych gospodarek. ...
... Zjawisko to, nazywane w literaturze dezindustrializacją, ujawnia się również na stosunkowo niskich poziomach PKB per capita i towarzyszy mu często przy znacznych przyrostach PKB. Obserwowany jest wówczas bezzatrudnieniowy wzrost gospodarczy (Dasgupta, Singh, 2005). ...
... Studies by Kaldor (1967) and Kuznets (1966) reveal that the advancement in the manufacturing sector leads to the growth of IT and ITES advancement. Further Studies by Dasgupta and Singh (2005); Goldar and Mitra (2008) and Joshi (2007) also attempt to understand whether there exist any such relationship between the growth of manufacturing sector and ITES. Chanda (2002) finds that technological development leads to more demand for manpower and in turns growth of ITES in India. ...
This study discusses the impact of digitisation on India’s two most vibrant and high potential segments for future growth: services sector and MSME segments. We find that there is a significant rise in growth rate for the India’s services sector and MSME segment since 2000. This was majorly due to digitisation. Digitisation automates the product and process as a result of which both quality and production increases. Despite having a high potential for future growth, India’s MSMEs segment has suffered due to less ‘access to finance’. Digitisation improves the performances of MSMEs and helps in
reducing financial obstacles by providing alternative financing options to MSME. Increasing access to alternative finance has resulted in the significant rise in MSMEs operating performance, profitability and productivity. The high performance of the India’s services sector and MSME segment contribute significantly to the overall trade growth. This paper finds that there is a high impact of digitisation on the inclusive growth of the overall Indian economy and trade.
... Empirical studies [1,2,13] based on Kaldor ' s Law argue that the manufacturing sector in developing countries represents the engine of economic growth and development. Other empirical studies [14,27] and statistical data argue that manufacturing represents a high export sector and pays relatively high wages, a main driver for employment in other sectors, including services, a key source of investment in research and development. ...
A series of recent research [5,15,16,27] highlight the fundamental idea that the manufacturing sector represents a cornerstone of many national economies, a crucial sector to the generation of structural change, productive jobs and sustainable economic growth. The aim of this paper is to highlight the place and role of the Romanian industry, especially the manufacturing sector, in the national economy and its impact on employment and sustainable development. The results of this research show that, Romania has entered a process of deindustrialization for over two decades. After 2000, the intensity of the deindustrialization process decreased which allowed manufacturing to remain the backbone of the Romanian industry and whole economy. A real challenge of the Romanian manufacturing is the low level of labour productivity and low level of medium and high-technology manufacturing activities. In order to increase the resilience of the Romanian economy in the context of economic globalizations and to assure sustainable economic growth and development a reindustrialization through sustainable and productive manufacturing is necessary.
