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Economic growth, structural change and quality upgrading in New Member States

Abstract

The purpose of this research is to present the recent developments concerning structural change and productivity growth in New Member States and the role played in such process by country specific factors. We focus on ten countries (NMS-10) which joined the EU in 2004 and analyze productivity dynamics of their labor structures between the years 1995 and 2005 in a comparative setting versus EU-15 economies. NMS-10 have gone through a rapid process of economic restructuring and its speed has been positively related to the economic development. However, shift-share analysis of productivity growth indicates that changes in value added per hour worked were due mainly to positive developments (rising productivity) within single sectors and only to a lower extent to the shift towards higher productivity sectors. The process of a structural change and productivity growth has been characterized by beta convergence type mechanism, with public spending (especially on education, social protection, public order and safety) and trade (in particular with more advanced EU-15 countries) promoting overall and intra-industry productivity upgrading.

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Category:
Conference activity
Type:
publikacja w wydawnictwie zbiorowym recenzowanym (także w materiałach konferencyjnych)
Title of issue:
Departemental Working Papers, Department of Economics. - VIII Milan European Economic Workshop, June 11th - 12th 2009
Language:
English
Publication year:
2009
Bibliographic description:
Parteka A.: Economic growth, structural change and quality upgrading in New Member States// Departemental Working Papers, Department of Economics. - VIII Milan European Economic Workshop, June 11th - 12th 2009/ ed. Università degli Studi di Milano. Italy: , 2009,
Verified by:
Gdańsk University of Technology

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