In this paper economic development occurs due to the creation of new sectors. Each sector is created by a major innovation, giving rise to a new market whose size is measured by the adjustment gap. The changes in the composition of the economic system occurring during economic development give...

The twin-peaked (bimodal) shape of the distribution of per capita income is an intensively discussed topic in economic growth research. The data show that the world income distribution starts with an unimodal structure in 1960 and evolves subsequently towards a bimodal or twin-peaked structure....