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<meta content="Sandven, Tore" name="eprints.creators_name" />
<meta content="Smith, Keith" name="eprints.creators_name" />
<meta content="Kaloudis, Aris" name="eprints.creators_name" />
<meta content="" name="eprints.creators_id" />
<meta content="Keith.Smith@utas.edu.au" name="eprints.creators_id" />
<meta content="" name="eprints.creators_id" />
<meta content="Hirsch-Kreinsen, Hartmut" name="eprints.editors_name" />
<meta content="Jacobson, David" name="eprints.editors_name" />
<meta content="Laestadius, Staffan" name="eprints.editors_name" />
<meta content="book_section" name="eprints.type" />
<meta content="2007-07-23" name="eprints.datestamp" />
<meta content="2008-01-08 15:30:00" name="eprints.lastmod" />
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<meta content="Structural change, growth and innovation: the roles of medium and low-tech industries, 1980-2000" name="eprints.title" />
<meta content="pub" name="eprints.ispublished" />
<meta content="340000" name="eprints.subjects" />
<meta content="360203" name="eprints.subjects" />
<meta content="350211" name="eprints.subjects" />
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<meta content="Medium and low-tech industries, GDP, technological change, ICT, R&D" name="eprints.keywords" />
<meta content="It is often argued that high tech industries drive growth processes, and that they are the sources of growth in output, employment and productivity in the knowledge economy. This is a special case of a more general argument that economic growth is characterized by the creation of new and the replacement of old industries. ICT sectors are often treated as the most important examples of this enhanced role of high tech at the present time. This approach implies that low tech industries have declining
shares of output for two reasons: their growth is lower (or they are declining absolutely) and they are relocating to low wage economies. That is, they exhibit trade-driven 'hollowing out'. If true, these claims would imply that shares of high tech output are rising significantly in growing economies, while low tech shares are falling
significantly, and that countries with larger high tech sectors will exhibit higher growth rates. This paper examines such claims. The issues are explored using OECD
manufacturing and trade data for the twenty-year period 1980-1999. We show that overall economic structures of OECD economies have changed, particularly reflecting the growth of financial services and social and community services. Within manufacturing, however, structural change has occurred but has been rather small, and does not account for the manufacturing growth that has occurred. We show that there is considerable variation in manufacturing structures across OECD economies, and argue that structural diversity would diminish over time if growth was high-tech
driven. This does not occur - comparative structures persist over time, and growth performance across countries is not correlated with shares of high tech in manufacturing. The slowness of structural change means that low tech and medium low tech sectors remain by a wide margin the largest components of manufacturing output and employment in OECD economies. We examine trade patterns for low and medium low tech sectors, and show that changing domestic demand for low tech manufactures has largely been met by changing domestic production. There has been
some widening of trade deficits, but this has been small: there is no trade-driven 'hollowing out'. We argue that these industries persist because of pervasive innovation within them: they are constantly renewed by technological upgrading, which accounts for their survival.
" name="eprints.abstract" />
<meta content="2005" name="eprints.date" />
<meta content="published" name="eprints.date_type" />
<meta content="Peter Lang" name="eprints.publisher" />
<meta content="Frankfurt, Germany" name="eprints.place_of_pub" />
<meta content="31-59" name="eprints.pagerange" />
<meta content="40" name="eprints.pages" />
<meta content="UNSPECIFIED" name="eprints.thesis_type" />
<meta content="TRUE" name="eprints.refereed" />
<meta content="3 631 53682 8" name="eprints.isbn" />
<meta content="Low-tech Innovation in the Knowledge Economy" name="eprints.book_title" />
<meta content="Amable, B.; Petit, P. 2003, The diversity of social systems of innovation and production during the 1990s. In: Institutions, Innovation and Growth, ed.J.-P. Touffut,
Cheltenham, UK: Edward Elgar.
Bassanini, A.; Scarpetta, S.; Visco, I. 2000, Knowledge, technology and economic growth: Recent evidence from OECD countries. Economic Department Working Papers, no. 259, OECD.
Bayoumi, T.; Haacker, M. 2002, It's not what you make,it's how you use IT: Measuring the welfare benefits of the IT revolution across countries. IMF Working Paper WP/02/117.
Boyer, R. 2004, New growth regimes, but still institutional diversity. Socio-Economic Review, vol. 2 (1), 1-32.
Bruland, K., and Mowery, D., (2004) 'Innovation through time' in J.Fagerberg, D. Mowery and R. Nelson (eds) The Oxford Handbook of Innovation (Oxford: OUP)
Fagerberg, J., Guerreri, P., and Verspagen, B., (1999), The Economic Challenge for Europe: adapting to innovation-based growth (Cheltenham: Edward Elgar)
Freeman, C. 2001, A hard landing for the 'New Economy'? Information technology and the United States national system of innovation. Structiral Change and Economic
Dynamics, vol. 12 (2), 115-139.
Christopher Freeman and Francisco Louca: As Time Goes By. From the Industrial Revolutions to the Information Revolution (Oxford: Oxford University Press) 2001
Hatzichronoglou, T. 1997, Revision of the high-technology sector and product classification. STI Working Papers, 1997/2, OECD.
Kuznets, S., 1959, Economic Change: Selected essays in business cycles, national income and economic growth (London: Heineman)
Mowery, D., and Rosenberg, N., Technology and the Pursuit of Economic Growth (Cambridge: CUP)
OECD, 1986, OECD Science and Technology Indicators, No 2: R&D, Innovation and Competitiveness, (OECD:Paris)
OECD, 2001, The New Economy. Beyond the Hype. The OECD Growth Project (OECD: Paris)
Pilat, D.; Devlin, A. 2004, The diffusion of ICT in OECD economies, in The economic impact of ICT, ed.ECD, Paris: OECD.
Pol, E., Carroll, P., and Robertson, P., 'A New Typology for Economic Sectors With a View to Policy Implications'. Economics of Innovation and New Technology, Vol
11 No 1, 2002.
" name="eprints.referencetext" />
<meta content="Sandven, Tore and Smith, Keith and Kaloudis, Aris (2005) Structural change, growth and innovation: the roles of medium and low-tech industries, 1980-2000. In: Low-tech Innovation in the Knowledge Economy. . Peter Lang, Frankfurt, Germany, pp. 31-59. ISBN 3 631 53682 8" name="eprints.citation" />
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<meta content="Structural change, growth and innovation: the roles of medium and low-tech industries, 1980-2000" name="DC.title" />
<meta content="Sandven, Tore" name="DC.creator" />
<meta content="Smith, Keith" name="DC.creator" />
<meta content="Kaloudis, Aris" name="DC.creator" />
<meta content="340000 Economics" name="DC.subject" />
<meta content="360203 Research, Science and Technology Policy" name="DC.subject" />
<meta content="350211 Innovation and Technology Management" name="DC.subject" />
<meta content="It is often argued that high tech industries drive growth processes, and that they are the sources of growth in output, employment and productivity in the knowledge economy. This is a special case of a more general argument that economic growth is characterized by the creation of new and the replacement of old industries. ICT sectors are often treated as the most important examples of this enhanced role of high tech at the present time. This approach implies that low tech industries have declining
shares of output for two reasons: their growth is lower (or they are declining absolutely) and they are relocating to low wage economies. That is, they exhibit trade-driven 'hollowing out'. If true, these claims would imply that shares of high tech output are rising significantly in growing economies, while low tech shares are falling
significantly, and that countries with larger high tech sectors will exhibit higher growth rates. This paper examines such claims. The issues are explored using OECD
manufacturing and trade data for the twenty-year period 1980-1999. We show that overall economic structures of OECD economies have changed, particularly reflecting the growth of financial services and social and community services. Within manufacturing, however, structural change has occurred but has been rather small, and does not account for the manufacturing growth that has occurred. We show that there is considerable variation in manufacturing structures across OECD economies, and argue that structural diversity would diminish over time if growth was high-tech
driven. This does not occur - comparative structures persist over time, and growth performance across countries is not correlated with shares of high tech in manufacturing. The slowness of structural change means that low tech and medium low tech sectors remain by a wide margin the largest components of manufacturing output and employment in OECD economies. We examine trade patterns for low and medium low tech sectors, and show that changing domestic demand for low tech manufactures has largely been met by changing domestic production. There has been
some widening of trade deficits, but this has been small: there is no trade-driven 'hollowing out'. We argue that these industries persist because of pervasive innovation within them: they are constantly renewed by technological upgrading, which accounts for their survival.
" name="DC.description" />
<meta content="Peter Lang" name="DC.publisher" />
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<h1 class="ep_tm_pagetitle">Structural change, growth and innovation: the roles of medium and low-tech industries, 1980-2000</h1>
<p style="margin-bottom: 1em" class="not_ep_block"><span class="person_name">Sandven, Tore</span> and <span class="person_name">Smith, Keith</span> and <span class="person_name">Kaloudis, Aris</span> (2005) <xhtml:em>Structural change, growth and innovation: the roles of medium and low-tech industries, 1980-2000.</xhtml:em> In: Low-tech Innovation in the Knowledge Economy. . Peter Lang, Frankfurt, Germany, pp. 31-59. ISBN 3 631 53682 8</p><div style="margin-bottom: 1em" class="not_ep_block"><p><em>This is the latest version of this item.</em></p></div><p style="margin-bottom: 1em" class="not_ep_block"></p><table style="margin-bottom: 1em" class="not_ep_block"><tr><td valign="top" style="text-align:center"><a onmouseover="EPJS_ShowPreview( event, 'doc_preview_1824' );" href="http://eprints.utas.edu.au/1424/1/Structural_change%2C_growth_and_technological_upgrading.pdf" onmouseout="EPJS_HidePreview( event, 'doc_preview_1824' );"><img alt="[img]" src="http://eprints.utas.edu.au/style/images/fileicons/application_pdf.png" class="ep_doc_icon" border="0" /></a><div class="ep_preview" id="doc_preview_1824"><table><tr><td><img alt="" src="http://eprints.utas.edu.au/1424/thumbnails/1/preview.png" class="ep_preview_image" border="0" /><div class="ep_preview_title">Preview</div></td></tr></table></div></td><td valign="top"><a href="http://eprints.utas.edu.au/1424/1/Structural_change%2C_growth_and_technological_upgrading.pdf"><span class="ep_document_citation">PDF</span></a> - Requires a PDF viewer<br />359Kb</td></tr></table><div class="not_ep_block"><h2>Abstract</h2><p style="padding-bottom: 16px; text-align: left; margin: 1em auto 0em auto">It is often argued that high tech industries drive growth processes, and that they are the sources of growth in output, employment and productivity in the knowledge economy. This is a special case of a more general argument that economic growth is characterized by the creation of new and the replacement of old industries. ICT sectors are often treated as the most important examples of this enhanced role of high tech at the present time. This approach implies that low tech industries have declining
shares of output for two reasons: their growth is lower (or they are declining absolutely) and they are relocating to low wage economies. That is, they exhibit trade-driven 'hollowing out'. If true, these claims would imply that shares of high tech output are rising significantly in growing economies, while low tech shares are falling
significantly, and that countries with larger high tech sectors will exhibit higher growth rates. This paper examines such claims. The issues are explored using OECD
manufacturing and trade data for the twenty-year period 1980-1999. We show that overall economic structures of OECD economies have changed, particularly reflecting the growth of financial services and social and community services. Within manufacturing, however, structural change has occurred but has been rather small, and does not account for the manufacturing growth that has occurred. We show that there is considerable variation in manufacturing structures across OECD economies, and argue that structural diversity would diminish over time if growth was high-tech
driven. This does not occur - comparative structures persist over time, and growth performance across countries is not correlated with shares of high tech in manufacturing. The slowness of structural change means that low tech and medium low tech sectors remain by a wide margin the largest components of manufacturing output and employment in OECD economies. We examine trade patterns for low and medium low tech sectors, and show that changing domestic demand for low tech manufactures has largely been met by changing domestic production. There has been
some widening of trade deficits, but this has been small: there is no trade-driven 'hollowing out'. We argue that these industries persist because of pervasive innovation within them: they are constantly renewed by technological upgrading, which accounts for their survival.
</p></div><table style="margin-bottom: 1em" cellpadding="3" class="not_ep_block" border="0"><tr><th valign="top" class="ep_row">Item Type:</th><td valign="top" class="ep_row">Book Chapter</td></tr><tr><th valign="top" class="ep_row">Keywords:</th><td valign="top" class="ep_row">Medium and low-tech industries, GDP, technological change, ICT, R&D</td></tr><tr><th valign="top" class="ep_row">Subjects:</th><td valign="top" class="ep_row"><a href="http://eprints.utas.edu.au/view/subjects/340000.html">340000 Economics</a><br /><a href="http://eprints.utas.edu.au/view/subjects/360203.html">360000 Policy and Political Science > 360200 Policy and Administration > 360203 Research, Science and Technology Policy</a><br /><a href="http://eprints.utas.edu.au/view/subjects/350211.html">350000 Commerce, Management, Tourism and Services > 350200 Business and Management > 350211 Innovation and Technology Management</a></td></tr><tr><th valign="top" class="ep_row">ID Code:</th><td valign="top" class="ep_row">1424</td></tr><tr><th valign="top" class="ep_row">Deposited By:</th><td valign="top" class="ep_row"><span class="ep_name_citation"><span class="person_name">Miss Alexandra Lejda</span></span></td></tr><tr><th valign="top" class="ep_row">Deposited On:</th><td valign="top" class="ep_row">23 Jul 2007</td></tr><tr><th valign="top" class="ep_row">Last Modified:</th><td valign="top" class="ep_row">09 Jan 2008 02:30</td></tr><tr><th valign="top" class="ep_row">ePrint Statistics:</th><td valign="top" class="ep_row"><a target="ePrintStats" href="/es/index.php?action=show_detail_eprint;id=1424;">View statistics for this ePrint</a></td></tr></table><div style="margin-bottom: 1em" class="not_ep_block"><h3>Available Versions of this Item</h3><ul><li><a href="http://eprints.utas.edu.au/1287/"><span class="citation">Structural change, growth and innovation: the roles of medium and low-tech industries, 1980-2000. (deposited 23 Jul 2007)</span></a><ul><li><span class="citation">Structural change, growth and innovation: the roles of medium and low-tech industries, 1980-2000. (deposited 23 Jul 2007)</span> <strong>[Currently Displayed]</strong></li></ul></li></ul></div><p align="right">Repository Staff Only: <a href="http://eprints.utas.edu.au/cgi/users/home?screen=EPrint::View&eprintid=1424">item control page</a></p>
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