Historically, episodes of rapid growth are accompanied by significant structural change. In this paper we therefore aim to quantify the extent to which factor accumulation induces structural change and productivity growth in industrializing economies. To fix ideas we present an extension of...

As the 20th Century ends, technologies originally developed for defense purposes such as computers and satellite communications appear to have become a driving force behind economic growth. Paradoxically, almost all econometric models suggest that the largely defense-oriented federal industrial...