Andreas Pyka, Paolo Saviotti

Economic Development by the Creation of New Sectors


Abstract:

The basic theme underlying this paper is qualitative change taking place during economic development. These changes in the composition of the economic system should become one of the most important variables in models of economic growth and development. Our knowledge of the relationship between economic development and qualitative change, however, is still very limited. This paper attempts to shed light on some important aspects of the role played by qualitative change in economic development, by laying the foundations of a model in which changes in the composition of the economic system are endogenously generated by the evolution of the system itself and, in turn, affect its future development. To put it shortly, we can say that economic development is a process in which new activities emerge, old ones disappear, the weight of all economic activities and their patterns of interaction change.

JEL: O0, O12, O30

Paper:

Paper available as pdf-file. Beitrag Nr. 220, Volkswirtschaftliche Diskussionsreihe, Institut für Volkswirtschaftslehre der Universität Augsburg

Contact:

Andreas Pyka, University of Augsburg, Department of Economics, Universitätsstr. 16, D-86159 Augsburg, Phone +49-821-598-4179, Fax +49-821-598-4229

Paolo Saviotti, INRA-SERD, Université Pieres Mendés France, BP47, F-38040 Grenoble, Cedéx 9, and CNRS-IDEFI, 250 rue A. Einstein, Sophia-Antipolis,
06560 Valbonne, France


v. K., 19.04.2002