Role of structural change and competitiveness on productivity in ASEAN-5

This study intends to investigate the dynamic role of structural change and competitiveness on the labor productivity of ASEAN-5, namely Indonesia, Malaysia, Philippines, Singapore and Thailand. Using the well-known shift-share analysis of panel data between 1975 and 2005, this study found a strong...

Full description

Saved in:

Bibliographic Details
Main Author:	Munusamy, Subramaniam
Format:	Thesis
Language:	English
Published:	2015
Subjects:	Labor productivity - Asia Labor supply - Asia Comparative economics - Asia
Online Access:	http://psasir.upm.edu.my/id/eprint/58490/1/FEP%202015%205IR.pdf
Tags:	Add Tag No Tags, Be the first to tag this record!

id	my-upm-ir.58490
record_format	uketd_dc
spelling	my-upm-ir.584902018-01-18T09:55:12Z Role of structural change and competitiveness on productivity in ASEAN-5 2015-06 Munusamy, Subramaniam This study intends to investigate the dynamic role of structural change and competitiveness on the labor productivity of ASEAN-5, namely Indonesia, Malaysia, Philippines, Singapore and Thailand. Using the well-known shift-share analysis of panel data between 1975 and 2005, this study found a strong presence of structural bonus hypothesis in the services sector. Thus, it confirms the ability of ASEAN-5 to reallocate labor resources from low to high productive sectors which resulted in the aggregate productivity growth of the services sector. However, the prevalence of Boumol’s structural burden implied that the structural change has implicated negative effect on the aggregate growth of industry in the most of ASEAN-5 countries except for Thailand. Besides shifting labor force away from progressive sectors towards ‘stagnated’ sectors with low productivity growth, structural change appears to weaken the aggregate growth of labor productivity in the industry. In the long run, it increases the chances of labor force to get ‘trapped’ in the stagnant industries and tend to diminish income per capita growth. Moreover, regression analysis from 2006 to 2012 founds a robust relationship between labor productivity growth and competitiveness that largely rest in the foreign market capitalization. Equally, private spending on R&D as well as FDI and technology transfer played a major role in raising labor productivity level within the ASEAN-5. This study, therefore, proposes country-specific institutional policies that emphasize in a stable macroeconomic environment, comprehensive assessment of partial industrialization conditions and government intervention in the facilitation of free trade and Research and Development (R&D) are essential the key determinant factors in salient structural change and compete in ASEAN-5. Labor productivity - Asia Labor supply - Asia Comparative economics - Asia 2015-06 Thesis http://psasir.upm.edu.my/id/eprint/58490/ http://psasir.upm.edu.my/id/eprint/58490/1/FEP%202015%205IR.pdf application/pdf en public masters Universiti Putra Malaysia Labor productivity - Asia Labor supply - Asia Comparative economics - Asia
institution	Universiti Putra Malaysia
collection	PSAS Institutional Repository
language	English
topic	Labor productivity - Asia Labor supply - Asia Comparative economics - Asia
spellingShingle	Labor productivity - Asia Labor supply - Asia Comparative economics - Asia Munusamy, Subramaniam Role of structural change and competitiveness on productivity in ASEAN-5
description	This study intends to investigate the dynamic role of structural change and competitiveness on the labor productivity of ASEAN-5, namely Indonesia, Malaysia, Philippines, Singapore and Thailand. Using the well-known shift-share analysis of panel data between 1975 and 2005, this study found a strong presence of structural bonus hypothesis in the services sector. Thus, it confirms the ability of ASEAN-5 to reallocate labor resources from low to high productive sectors which resulted in the aggregate productivity growth of the services sector. However, the prevalence of Boumol’s structural burden implied that the structural change has implicated negative effect on the aggregate growth of industry in the most of ASEAN-5 countries except for Thailand. Besides shifting labor force away from progressive sectors towards ‘stagnated’ sectors with low productivity growth, structural change appears to weaken the aggregate growth of labor productivity in the industry. In the long run, it increases the chances of labor force to get ‘trapped’ in the stagnant industries and tend to diminish income per capita growth. Moreover, regression analysis from 2006 to 2012 founds a robust relationship between labor productivity growth and competitiveness that largely rest in the foreign market capitalization. Equally, private spending on R&D as well as FDI and technology transfer played a major role in raising labor productivity level within the ASEAN-5. This study, therefore, proposes country-specific institutional policies that emphasize in a stable macroeconomic environment, comprehensive assessment of partial industrialization conditions and government intervention in the facilitation of free trade and Research and Development (R&D) are essential the key determinant factors in salient structural change and compete in ASEAN-5.
format	Thesis
qualification_level	Master's degree
author	Munusamy, Subramaniam
author_facet	Munusamy, Subramaniam
author_sort	Munusamy, Subramaniam
title	Role of structural change and competitiveness on productivity in ASEAN-5
title_short	Role of structural change and competitiveness on productivity in ASEAN-5
title_full	Role of structural change and competitiveness on productivity in ASEAN-5
title_fullStr	Role of structural change and competitiveness on productivity in ASEAN-5
title_full_unstemmed	Role of structural change and competitiveness on productivity in ASEAN-5
title_sort	role of structural change and competitiveness on productivity in asean-5
granting_institution	Universiti Putra Malaysia
publishDate	2015
url	http://psasir.upm.edu.my/id/eprint/58490/1/FEP%202015%205IR.pdf
_version_	1747812214547415040

Role of structural change and competitiveness on productivity in ASEAN-5

Similar Items