Small and Large Industry: Employment Generation, Linkages, and Key Sectors

The relevance of the small and large industry dichotomy in relation to the problem of employment generation in a developing country is an important consideration. Therefore, the following are empirically examined: 1. relative importance of direct employment within total employment generated by small...

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Bibliographic Details
Published in:Economic development and cultural change 1981-01, Vol.29 (2), p.263-274
Main Authors: Meller, Patricio, Marfan, Manuel
Format: Article
Language:English
Subjects:
Developing countries
Employment
Food industries
Industrial machinery
Industrial output
Industrial sectors
Industry
Industry/Industries
Input output analysis
Labor
Labor supply
Large
Leather industry
Manufacturing
Manufacturing industries
Measurement
Requirements
Small
Studies
Tobacco industry
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Summary:The relevance of the small and large industry dichotomy in relation to the problem of employment generation in a developing country is an important consideration. Therefore, the following are empirically examined: 1. relative importance of direct employment within total employment generated by small and large industry output variations, 2. backward and forward employment linkages of small and large industry, and 3. identification of key sectors for employment generation within the Chilean industrial sector. The empirical results were drawn by employing the input-output model in the analysis, and they reflect the employment conditions in the Chilean industrial sector at the beginning of the 1960s. It is essential to examine total employment effects to establish which industries have the largest relative labor requirements. It was found that key sectors for productive employment generation in the Chilean manufacturing industry are: 1. large industry-food, beverages, textiles, wood, paper, leather, and basic metals, and 2. small industry-wood, machinery except electrical, and diverse manufacturing.
ISSN:0013-0079
1539-2988
DOI:10.1086/451246