%0 Report
        %A Foellmi, Reto
%A Zweimüller, Josef
        %T Structural Change and the Kaldor Facts of Economic Growth
        %D 2002
        %8 2002 Apr
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 472
        %U https://www.iza.org/publications/dp472
        %X We present a model in which two of the most important features of the long-run growth
process are reconciled: the massive changes in the structure of production and employment;
and the Kaldor facts of economic growth. We assume that households expand their
consumption along a hierarchy of needs and firms introduce continuously new products. In
equilibrium industries with an expanding and those with a declining employment share co-exist,
and each such industry goes (or has already gone) through a cycle of take-off, maturity,
and stagnation. Nonetheless macroeconomic aggregates grow pari passu at a constant rate.
        %K innovation
%K structural change
%K balanced growth
%K Kaldor facts
%K hierarchic