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Measuring Labor Share in Developing Countries

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Abstract

Oftentimes economists think of income in terms of its factor components: labor and capital. The labor share is the fraction of labor income over gross domestic product (GDP), while the capital share is similarly the fraction of capital income over GDP. The labor share used to not draw much attention from researchers because it was long considered to be constant over time. However, it is now well-documented that the labor share in developed countries has, in fact, declined over the last few decades, but evidence remains mixed for developing countries.

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  • Brian Reinbold & Paulina Restrepo-Echavarria, 2018. "Measuring Labor Share in Developing Countries," The Regional Economist, Federal Reserve Bank of St. Louis, vol. 26(1).
    • Handle: RePEc:fip:fedlre:00172
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    Cited by:

    1. Federico Riccio & Lorenzo Cresti & Maria Enrica Virgillito, 2022. "The labour share along global value chains. Perspectives and evidence from sectoral interdependence," LEM Papers Series 2022/11, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    2. Brown, Suzana & Vairis, Achilles & Masoumifar, Ali M. & Petousis, Markos, 2020. "Common problems with the conventional design of crutches: Proposing a safer design and discussing the potential impact," Technology in Society, Elsevier, vol. 60(C).
    3. Ponticelli, Jacopo & Bustos, Paula & Castro-Vincenzi, Juan & Monras, Joan, 2018. "Industrialization without Innovation," CEPR Discussion Papers 13379, C.E.P.R. Discussion Papers.

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