Structural Convergence in Manufacturing Industries between Leaders and Latecomers

This article uses cross-country panel data on three-digit manufacturing to test for progressive structural convergence in industrial output mix between industrialising and industrialised economies. Regressions based on Logistic and Almost-Ideal models show that industrial deepening entails share losses for light and selected heavy manufacturing, and share gains for engineering and consumer durables. While semi-industrial economies manage to shift into petrochemical and engineering industries, the least industrialised nurture a broad spectrum of non-traditional manufacturing. Diversity in factor endowments and policy notwithstanding, growing similarity in demand and technological diffusion appear to produce weak convergence of industrial structures between developing and developed countries.progressive structural convergence, cross-country panel data, Logistic and Almost-Ideal models,