Development and the Labor Share

A U-shaped relationship between development and the labor share of income is brought to light. To do so, a panel dataset on the labor share in the manufacturing sector of developing countries is exploited. This dataset has greater coverage than the ones of previous studies focusing on developing cou...

Full description

Bibliographic Details
Main Authors:	Maarek, Paul, Orgiazzi, Elsa
Format:	Journal Article
Published:	Published by Oxford University Press on behalf of the World Bank 2021
Subjects:	LABOR SHARE DUAL LABOR MARKET DEVELOPMENT INFORMAL SECTOR INCOME DISTRIBUTION
Online Access:	http://hdl.handle.net/10986/36079

id	okr-10986-36079
recordtype	oai_dc
spelling	okr-10986-360792021-08-07T05:10:30Z Development and the Labor Share Maarek, Paul Orgiazzi, Elsa LABOR SHARE DUAL LABOR MARKET DEVELOPMENT INFORMAL SECTOR INCOME DISTRIBUTION A U-shaped relationship between development and the labor share of income is brought to light. To do so, a panel dataset on the labor share in the manufacturing sector of developing countries is exploited. This dataset has greater coverage than the ones of previous studies focusing on developing countries. These data are also available at the disaggregated level for 28 manufacturing subsectors. This allows us to show that the U-shaped pattern of the labor share is also observed at the subsector level, suggesting that it does not correspond to reallocation forces across manufacturing subsectors during the development process. Standard theories of development economics that feature duality in the labor market easily generate such a pattern. 2021-08-06T21:19:19Z 2021-08-06T21:19:19Z 2020-02 Journal Article World Bank Economic Review 1564-698X http://hdl.handle.net/10986/36079 CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Published by Oxford University Press on behalf of the World Bank Publications & Research Publications & Research :: Journal Article
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
topic	LABOR SHARE DUAL LABOR MARKET DEVELOPMENT INFORMAL SECTOR INCOME DISTRIBUTION
spellingShingle	LABOR SHARE DUAL LABOR MARKET DEVELOPMENT INFORMAL SECTOR INCOME DISTRIBUTION Maarek, Paul Orgiazzi, Elsa Development and the Labor Share
description	A U-shaped relationship between development and the labor share of income is brought to light. To do so, a panel dataset on the labor share in the manufacturing sector of developing countries is exploited. This dataset has greater coverage than the ones of previous studies focusing on developing countries. These data are also available at the disaggregated level for 28 manufacturing subsectors. This allows us to show that the U-shaped pattern of the labor share is also observed at the subsector level, suggesting that it does not correspond to reallocation forces across manufacturing subsectors during the development process. Standard theories of development economics that feature duality in the labor market easily generate such a pattern.
format	Journal Article
author	Maarek, Paul Orgiazzi, Elsa
author_facet	Maarek, Paul Orgiazzi, Elsa
author_sort	Maarek, Paul
title	Development and the Labor Share
title_short	Development and the Labor Share
title_full	Development and the Labor Share
title_fullStr	Development and the Labor Share
title_full_unstemmed	Development and the Labor Share
title_sort	development and the labor share
publisher	Published by Oxford University Press on behalf of the World Bank
publishDate	2021
url	http://hdl.handle.net/10986/36079
_version_	1764484383032475648

Development and the Labor Share

Similar Items