Lithuanian manufacturing trends in the context of developed and developing countries

Abstract

The purpose of this paper is to assess the main aspects of the Lithuanian manufacturing industries in the global context. Two approaches are prevailing in the scientific studies analyzing structural changes of economy. The first seeks to identify statistically certain change in economic structure using three-sector hypothesis. The second approach focuses on in-depth structural analysis of the particular sector over time. This study supports the second approach and examines the structural changes in the manufacturing industry of developed and developing countries and draw the Lithuanian picture on the basis of 2000-2009. To this end, two economics tools, namely, the structural changes indicators and Finger-Kreinin dissimilarity index are applied for this purpose. The main findings related to the manufacturing sector’s structural tendencies of the Lithuanian economy in the context of developed and developing countries. First of all, the manufacturing industry is looked from the point of view of three economies, such as developed, developing countries and Lithuania’s. The author highlights the main trends of manufacturing industry in global context. After further in-depth analysis of the Lithuanian manufacturing structural changes in the context of developed and developing countries has been carried out and new evidence on manufacturing distribution profiles has been provided, concluding remarks have been made. The insights from this study could be useful guide to the Lithuanian manufacturing industry for the need to promote sustainable development in the global context.