Tag Archives | equality
Economics, Poverty
Structural transformation, growth, and inequality: Evidence from Viet Nam

Economic development and growth entail large-scale structural transformation of economies. Many Asian and African economies are now undergoing such structural transformation—typically from agriculture to manufacturing and service sectors. This transformation inevitably involves reallocation of workers from the primary sector to the manufacturing and service sectors. One of the important questions arising is whether such growth led by structural transformation helps the poor. On the one hand, growth may lift people out of poverty and therefore improve living standards for everyone. On the other hand, growth may increase income inequality by benefiting the rich more than the poor.
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