Beyond Balanced Growth

By P. Kongsamut, Sergio Rebelo, Danyang Xie. Social Science Research Network, 2001

1,156 citations recorded by the source corpus.

Balanced growth models are commonly used in macroeconomics because they are consistent with the well-known Kaldor facts regarding economic growth. These models, however, are inconsistent with one of the most striking regularities of the growth process—the massive reallocation of labour from agriculture into manufacturing and services. This paper presents a simple model consistent with both the Kaldor facts and the dynamics of sectoral labour reallocation.

Subfields: Economics and Econometrics, Sociology and Political Science

View Paper: https://www.semanticscholar.org/paper/e8b88f35b1d7aa39f2f0ed9be65f99a42c771ca2

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

In Sociology and Political Science

Citations in the corpus

Endowment Structures, Industrial Dynamics, and Economic Growth (2009, background): “Substituting equations (18) and (19) into (12), we can verify that K (tn+1) = K(tn+1).”
Skill-Biased Structural Change (2021, background): “(See, for example, Kongsamut et al. (2001).) With this in mind it is of interest to ask whether high-skill intensive services are a luxury good, i.”
Determinants of Structural Change (2013, methodology): “One tradition attributes the pattern of falling expenditure share of agriculture and rising share of services to income effects, typically modeled by postulating a Stone-Geary utility function as in Kongsamut et al. (2001).”
Gender Gaps and the Rise of the Service Economy (2017, background): “Intuitively, (33) states that when the expenditure for either market commodity rises relative to home production, and/or when the female wage bill share in the market rises more than in the household, women reallocate their working time from the household to the market.”
The Economics of Growth (2008, background): “**Nonbalanced growth (based on Kongsamut, Rebelo, and Xie 2001) Consider an economy with three sectors—agriculture (A), manufacturing (M), and services (S).”
Modernization of Agriculture and Long-Term Growth (2013, neutral): “yt = (1− α) " 1− σ + σc 1 α+σ(1−α) μ α σ(1− α) ¶ α α+σ(1−α) e Aat # c, (28)”
Structural change, Engel's consumption cycles and Kaldor's facts of economic growth (2008, background): “Unlike Kongsamut et al. (2001), however, our model studies 21 a situation where new goods are continuously introduced, leading to the expansion of new and 22”
The Role of the Structural Transformation in Aggregate Productivity (2010, background): “…consumption – when the income of the household is low, less resources are allocated to 16See, for instance, Echevarria (1997), Laitner (2000), Kongsamut, Rebelo, and Xie (2001), Caselli and Coleman (2001), Gollin, Parente, and Rogerson (2002), and Restuccia, Yang, and Zhu (2008). the…”
Measuring factor income shares at the sectoral level (2008, background): “Examples that make this assumption include Kongsamut et al. (2001) and Hsieh and Klenow (2007).”