Publisher's Synopsis
This title argues that economic growth in developing countries is intrinsically tied to the dynamics of production structures and to the specific policies and institutions created to support it, especially those that facilitate the diffusion of innovations generated in the industrialized world (including, in particular, the development of new branches of production), and the creation of linkages among domestic firms and sectors. Avoiding macroeconomic instability is also essential, however, macroeconomic stability is not a sufficient condition for growth. The broader institutional context and the adequate provision of education and infrastructure are essential - framework conditions - but generally do not play a direct role in bringing about changes in the momentum of economic growth. This title makes extensive use of concepts elaborated by the old and the new development and growth literature. It is divided into four sections. Section 1 takes a look at some methodological issues and growth regularities. The second section focuses on the dynamics of production structures. The third provides a very simple model of the linkages between productive and macroeconomic dynamics. The last draws policy implications.
