This paper examines the theoretical and empirical evidence for the hypothesis that manufacturing is the main engine of growth in developing countries. The paper opens with an overview of the main arguments supporting the engine of growth hypothesis and then examines each of these arguments using...

The structure of the Nigerian economy is typical of an underdeveloped country. The primary sector, in particular, the oil and gas sector, dominates the gross domestic product accounting for over 95 per cent of export earnings and about 85 per cent of government revenue between 2011 and 2012. The...

Africa should industrialize. Without structural change it cannot sustain recent growth. Economies with more diverse and sophisticated industrial sectors tend to grow faster. But since 1980 Africa has deindustrialized. The paper shows that between 1975 and 2005 the size, diversity and...

In recent decades, Africa has received a large share of official development assistance compared to other regions of the world. Using AidData for 2000-13, this paper examines the effects of aid to productive sectors on manufacturing growth in Africa. Econometric results show that increased...

China has undergone remarkable economic growth spearheaded by industrialization. Chinese industry demands a wide variety of raw materials in increasing amounts in order to manufacture all kinds of products. Industrial demand exceeds domestic supply for several materials. Thus, China needs to...

This paper explores the implications of climate change for industrial policy (IP). Five implications are discussed, namely the need for international coordination of IPs; for putting human development, and not emission targets, as the overriding objective of low-carbon IP; of stimulating...

In the past, research on changes in relative importance among broad three sectors - ;agriculture, industry, and service - showed general patterns of a country's structural transformation along with economic development. However, there has been devoid of empirical studies investigating in the...

In considering pathways to industrialization in the twenty-first century, cognisance needs to be taken of the fact that many countries have actually been deindustrializing. This paper analyses deindustrialization experiences internationally, by decomposing changes in the level and share of...

The increasing quantity of literature investigating the impact of trade openness on firm efficiency has not yet provided a definite prediction of the direction of causality. This paper investigates how the relationship between exporting and productivity impacts on manufacturing sectors in...

We use census panel data on Ethiopian manufacturing firms to analyze the connections between enterprise agglomeration, firm-level output prices and physical productivity. We find a negative and statistically significant relationship between the agglomeration of firms that produce a given product...