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Demand-led industrialisation policy in a dual-sector small balance of payments constrained economy: Evidence from global aspirations to stay, return or migrate onwards

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Abstract

This article models the process of structural transformation and catching-up in a demand-led Southern economy constrained by its balance of payments. Starting from the Sraffian Supermultiplier Model, we model a dual-sector small open economy divided between traditional and modern sectors that interacts with a technologically advanced Northern economy. We propose two (alternative) autonomous elements that define the growth
Original languageEnglish
Place of PublicationMaastricht
PublisherUNU-MERIT
Publication statusPublished - 18 Oct 2021

Publication series

SeriesUNU-MERIT Working Papers
Number038
ISSN1871-9872

JEL classifications

  • e12 - "General Aggregative Models: Keynes; Keynesian; Post-Keynesian"
  • e61 - "Policy Objectives; Policy Designs and Consistency; Policy Coordination"
  • o41 - One, Two, and Multisector Growth Models

Keywords

  • Industrialisation
  • Catching-up
  • Balance of Payments
  • Sraffian Supermultiplier

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