Development

, Volume 58, Issue 4, pp 528–539 | Cite as

Industrialization, Employment and the Sustainable Development Agenda

Dialogue
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Abstract

This article contends that industrialization and its associated structural transformation is an engine of economic growth and a major source of employment generation. By reallocating resources to more productive manufacturing activities, industrialization accelerates and sustains economies’ rate of growth. By increasing the demand for labour, economic growth in turn generates employment. Manufacturing employment has been growing since 1970 and by 2017 the world should have around 500 million manufacturing jobs, most of them created in the developing world. The observed reduction in manufacturing employment and growth in developed countries is seen as the result from them losing manufacturing and industrial innovation capabilities.

Keywords

manufacturing economic growth structural transformation structural change labour absorption industrial innovation formal employment informal employment 

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Copyright information

© Society for International Development 2017

Authors and Affiliations

  1. 1.ViennaAustria

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