Skip to main content Accessibility help
×
Hostname: page-component-848d4c4894-jbqgn Total loading time: 0 Render date: 2024-07-07T03:50:54.197Z Has data issue: false hasContentIssue false

9 - The mechanics and benefits of structural change

from Part III - How Poor Countries Can Catch Up: Flying Geese and Leading Dragons

Published online by Cambridge University Press:  05 June 2013

Justin Yifu Lin
Affiliation:
Peking University, Beijing
Get access

Summary

The Roman emperor Marcus Aurelius famously observed that “the universe is transformation; our life is what our thoughts make it.” He thus outlined the essentially voluntary nature of success. Writing two millennia later, biologist Charles Darwin brought scientific reasoning to Aurelius’s observation and took it to another level by emphasizing the inevitability of transformation. In studying what he called “the struggle for existence,” Darwin conjectured:

More individuals are born than can possibly survive. A grain in the balance will determine which individual shall live and which shall die, . . . which variety or species shall increase in number, and which shall decrease, or finally become extinct. [. . .] The slightest advantage in one being, at any age or during any season, over those with which it comes into competition, or better adaptation in however slight degree to the surrounding physical conditions, will turn the balance.

Economists concerned with the development of poor countries have not pronounced such a stark diagnosis. Economics typically is not a zero-sum game, and even the most egregious policy failures rarely cause a country to disappear from the face of the earth. After all, few national economies perish simply because of natural selection. But the basic insight that underlies Aurelius’s and Darwin’s intuitions applies to economic development: long-term growth depends on continuing structural transformation.

Type
Chapter
Information
Against the Consensus
Reflections on the Great Recession
, pp. 106 - 122
Publisher: Cambridge University Press
Print publication year: 2013

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

Save book to Kindle

To save this book to your Kindle, first ensure coreplatform@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about saving to your Kindle.

Note you can select to save to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be saved to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

Available formats
×

Save book to Dropbox

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Dropbox.

Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

Available formats
×