This article documents a rapid shift toward services (tertiarization) of the Chinese economy
since 2005, as evidenced by the significant increase in both employment and value-added …

This article is based on the presidential address delivered at the EEA Annual Congress
2016. It discusses China's institutional and economic transformation through the lens of the …

Between 1880 and 1920, the US agricultural employment share fell from 50% to 25%.
However, despite aggregate demand shifting away from their sector of specialization, rural …

Abstract Between 2000 and 2015, China's aggregate income quadrupled, its provincial
income inequality fell by a third, and its share of employment in agriculture fell by a half …

Structural transformation in most currently developing countries takes the form of a rapid rise
in services but limited industrialization. In this paper, we propose a new methodology to …

We present a unified treatment of how welfare responds to changes in budget sets or
technologies with taste shocks and nonhomothetic preferences. We propose a welfare …

The relative price of services rises with development. A standard interpretation of this fact is
that productivity differences across countries are larger in manufacturing than in services …

We document that the nature of business cycles evolves over the process of development
and structural change. In countries with large declining agricultural sectors, aggregate …

Industrialization experiences differ substantially across countries. We use a benchmark
model of structural change to shed light on the sources of this heterogeneity and, in …

In many developing countries today, the structural transformation is a shift of employment out
of agriculture into the service sector. By contrast, industrial employment is mostly stagnant. Is …