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Implications Of New Trade And Endogenous Growth Theories For Diversification Policies Of Commodity-Dependent Countries

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  • Jörg MAYER

Abstract

New trade and endogenous growth theories are discussed, and their findings taken to interpret technological innovation and human-capital accumulation as being the engines of structural diversification. Structural diversification is seen as being the result of dynamic learning sequences, where introducing new technology provides learning-by-doing benefits which, however, peter out once activities associated with the new technology have been repeated many times; new and more sophisticated technology is needed to continue reaping learning effects. Diversification policy should encourage skill-upgrading, for example by refocusing education policy and fostering the production of products that are one step higher on the skill ladder than those presently produced, independently of whether those products are considered commodities or manufactures in common product classifications. Associated policy actions for technology development and human capital accumulation are outlined.

Suggested Citation

  • Jörg MAYER, 1996. "Implications Of New Trade And Endogenous Growth Theories For Diversification Policies Of Commodity-Dependent Countries," UNCTAD Discussion Papers 122, United Nations Conference on Trade and Development.
    • Handle: RePEc:unc:dispap:122
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    References listed on IDEAS

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    1. Rodrik, Dani, 1994. "King Kong Meets Godzilla: The World Bank and The East Asian Miracle," CEPR Discussion Papers 944, C.E.P.R. Discussion Papers.
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    Cited by:

    1. Maria Tsiapa, 2014. "Industrial Concentration Patterns of the European Union," SCIENZE REGIONALI, FrancoAngeli Editore, vol. 2014(3), pages 5-33.
    2. Reinhardt, Nola, 2000. "Back to Basics in Malaysia and Thailand: The Role of Resource-Based Exports in Their Export-Led Growth," World Development, Elsevier, vol. 28(1), pages 57-77, January.
    3. NAPO, Fousséni & ADJANDE, Ali Awountchou, 2019. "Diversification des exportations, investissements directs étrangers et croissance économique en Afrique Subsaharienne [Export diversification, foreign direct investment and economic growth in Sub-S," MPRA Paper 95602, University Library of Munich, Germany, revised 08 Jun 2019.
    4. Gnangnon, Kimm & Moser, Constance Besse, 2014. "Intellectual property rights protection and export diversification: The application of utility model laws," WTO Staff Working Papers ERSD-2014-19, World Trade Organization (WTO), Economic Research and Statistics Division.
    5. Jean-Raphael Chaponniere & Jean-Pierre Cling, 2009. "Vietnam's Export-Led Growth Model and Competition with China," Economie Internationale, CEPII research center, issue 118, pages 101-130.
    6. Petrit Gashi, 2014. "Human Capital and Export Decisions: The Case of Small and Medium Enterprises in Kosovo," Croatian Economic Survey, The Institute of Economics, Zagreb, vol. 16(2), pages 91-120, December.
    7. Ndambendia, Houdou, 2014. "Exports diversification and knowledge sharing from south-south and south-north economic cooperation: evidence from the Central and West Africa," MPRA Paper 71571, University Library of Munich, Germany, revised 2015.

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