Manufacturing, Services and Premature De-Industrialisation in Developing Countries: A Kaldorian Empirical Analysis

Abstract

This paper uses a Kaldorian framework to examine the evidence of deindustrialisation in developing countries at low levels of income, the jobless growth in these economies and the fast expansion of the informal sector. The questions are specifically examined for the Indian economy using state level data, but the analysis has a wider application for economic policy in developing countries.