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Tertiary Sector Hypertrophy during Development: An Examination of Regional Variation

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  • K Pandit

    (Department of Geography, University of Georgia, Athens, GA 30602, USA)

Abstract

Third World countries are evidencing a dramatic growth of informal services that has made the size of their tertiary sector relative to the secondary considerably larger than that observed historically in the now industrialized countries. Although this phenomenon of tertiary sector hypertrophy has received much attention in the literature, the possibility of regional variation within the Third World has been relatively unexplored. It is argued that there are strong rationales for expecting a spatial variation in the sectoral partitioning of labor and in tertiary sector hypertrophy, and that the experiences of less developed countries cannot be generalized. Empirical analysis using 1980 data from 108 countries shows that countries in Africa exhibited the highest levels of tertiary hypertrophy at a given income level, followed by Asia and Latin America. Regional differences are apparent in the income level at which the maximum hypertrophy is observed. It is suggested that analyses of structural changes in development need to be sensitive to the spatial, temporal, and contextual milieux.

Suggested Citation

  • K Pandit, 1990. "Tertiary Sector Hypertrophy during Development: An Examination of Regional Variation," Environment and Planning A, , vol. 22(10), pages 1389-1406, October.
    • Handle: RePEc:sae:envira:v:22:y:1990:i:10:p:1389-1406
    DOI: 10.1068/a221389
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    References listed on IDEAS

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    1. Silber, Jacques, 1983. "ELL (The Equivalent Length of Life) or another attempt at measuring development," World Development, Elsevier, vol. 11(1), pages 21-29, January.
    2. Udall, Alan T, 1976. "The Effects of Rapid Increases in Labor Supply on Service Employment in Developing Countries," Economic Development and Cultural Change, University of Chicago Press, vol. 24(4), pages 765-785, July.
    3. Victor R. Fuchs, 1968. "The Service Economy," NBER Books, National Bureau of Economic Research, Inc, number fuch68-1, June.
    4. Moser, Caroline O. N., 1978. "Informal sector or petty commodity production: Dualism or dependence in urban development?," World Development, Elsevier, vol. 6(9-10), pages 1041-1064.
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    Cited by:

    1. Thakur, Sudhir K., 2008. "Identification of temporal fundamental economic structure (FES) of India: An input-output and cross-entropy analysis," Structural Change and Economic Dynamics, Elsevier, vol. 19(2), pages 132-151, June.

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