The Annals o he Uni e si y o O adea. Economic Sciences, Tom XXVI 2017, Issue 2  270
ACCOUNTING FOR GROWTH: COMPARING ECONOMIC SECTORS IN THE
UAE.
Yahya Alshehhi
Ká oly Ih ig Doc o al School o Managemen and Business, Facul y o Economics
and Business, Uni e si y o Deb ecen, Deb ecen, Hunga y.
[email protected],
Abs ac : UAE occupied an impo an posi ion no only in he A ab wo ld, bu e en
in he wo ldwide economy. The coun y ook a main oil p oduce and a business
loca ion hub wi h sho du a ion o es ablishmen as a coun y ha consis ed o se en
emi a es. Re e able o he luc ua ing o oil p ice, he coun y employed a s a egy o
di e si y i s economy o a oid he ins abili y o income om oil e enue. The ques ion
was analyzed he e wha ac o o p oduc ion was he p ima y con ibu o o he
g ow h in he concep o sec o al app oach acco ding o he UN. The pu posed o
his s udy o analyze he UAE’s economy in pe spec i e o sec o al app oach om
1990 o 2015, ha di ided in h ee sec o s such he p ima y sec o , he
manu ac u ing sec o , and he se ice sec o . The g ow h accoun ing used as a
model o explain he g ow h. The me hodology applied was a quan i a i e me hod.
The da a we e ga he ed om he coun y s a is ics cen e , which in e m employed
empi ical s udy. The empi ical s udy esul ed ha he coun y shi ed om ag icul u e
o se ice and indus y since 2000. The con ibu ion sha e om he labo inpu was
he main ac o ha con ibu ed signi ican ly o he g ow h o each sec o speci ically
om 1990-2015, whe e we e dese ed 70%, 86%, and 62% o he p ima y, he
manu ac u ing, and he se ice sec o s, espec i ely. While, he con ibu ion g ow h
due o he capi al we e 24%, 45%, and 49%, o he p ima y, he manu ac u e, and
he se ice sec o s, espec i ely. While in con as , he sha e o g ow h due o he
TFP was nega i e in he manu ac u ing and he se ice sec o s which we e -31%
and -12%, espec i ely, whe e unlike in he p ima y sec o was 6% om 1990-2015.
Bu in gene al, he sec o ou pu was ob ained o he se ice sec o was dese ed
he highes annual mean g ow h a e abou 8.37%, which accompany by he
manu ac u ing sec o abou 6.88%.
Keywo ds: G ow h accoun ing; P oduc i i y; TFP; UAE.
JEL Classi ica ion: C23; E23; E24.
1. In oduc ion
The UAE is si ua ed on he A abian Peninsula and i is a po ion o he Gul
Co po a ion Council (GCC) s a es. The UAE was es ablished on he 2nd o
Decembe , 1971 and consis ing o se en emi a es a e Abu Dhabi, Dubai, Sha jah,
Fujai ah, Umm Al-Quwain, Ras Al-Khaimah, and Ajman. I has a o al a ea o
app oxima ely 83,600 sq. km (Yea book, 2013). Acco ding o yea book (2012) he
UAE gained high epu a ion wo ldwide by achie ing excellence in di e en a eas
such as echnology, communica ion, science, launching ae ospace sa elli es,
a ia ion indus y, manu ac u ing indus y, in as uc u e, ou is , inancial ma ke s,
economic go e nance, and e en in ene gy such as clea ene gy plan s.
The UAE’ economy has shi ed om a low income based economy o ishing and
pea ling oge he wi h some ag icul u e o an oil-based high income economy wi hin
The Annals o he Uni e si y o O adea. Economic Sciences, Tom XXVI 2017, Issue 2  271
he las ou decades. The UAE has been conside ed one o he majo en op oil
p oduce s and ese oi s in he wo ld (BP, 2015). Howe e , he UAE adap ed
di e si ica ion s a egy o lessen i s eliance on oil income and ocus on di e en
sec o s o he economy.
Gi en he p e ious decades o p esen , i can be seen ha he UAE has achie ed
posi i e esul by di e si ying i s economy. The coun y wi nessed a g ea ou pu o
p ospe i y and wel a e leading o g ow h. The UAE oday is conside ed as a majo
inancial hub in he egion, and a cen e o in e na ional ading. Since he
es ablishmen o he UAE in he yea 1971, i s economic expansion was admi ed by
hi ing 200 imes (UAE, 2013). In addi ion, he UAE is conside ed he second la ges
economy a e Saudi A abia in he A ab wo ld and accoun ed o mo e han a ou h
o o al GCC's GDP in yea 2012. Mo eo e , i accoun ed o nea ly 14% o he o al
ou pu (GDP) o he na ions in he egion (No h A ica and Middle Eas ). In sum, he
di e si ica ion e o s ha e gained i s way by s ong he economy, which is d i en by
se ices, eal es a e, and in as uc u e spending (UAE, 2013).
The pu pose o his s udy is o unde s and he ex end be ween he sha e o
con ibu ion due o ac o s o p oduc ion and annual a e age g ow h in o sec o al
app oach in he UAE, speci ically a e he ansi ion o economy o di e si y income.
Thus, he ques ion o his s udy is, which a e he main ac o ha ole he g ow h o
UAE’s economy in sec o al app oach acco ding o Uni ed Na ion (UN) classi ica ion.
The s udy is s uc u ed in o sec ions. Sec ion (1) p esen s li e a u e e iews o he
p oduc i i y and i s measu emen , sec ion (2), demons a es he sou ce o di isions
o he economy, da a ob ained, and me hodology employed, sec ion (3), p esen ed
he empi ical esul s o h ee di ided sec o s by using he g ow h accoun ing model
om 1990-2015di ided in o pe iods (1990-2000, 2000-2010, and 2010-2015) o
unde s and he change happened in g ow h o ac o s, and he las sec ion (4)
demons a es he esul s. In gene al, he g ow h was ela ed mos ly o he inc ease
in numbe o wo ke s, unlike he imp o emen in TFP.
2. P oduc i i y
The p oduc i i y can be iden i ied as he ela ionship be ween inpu s o ou pu
(Shebeb, 2011). P oduc i i y is conside ed one o he mos impo an measu emen
ha measu es economic pe o mance, which is measu ed by he a io o he o al
ou pu o he weigh ed a e age o inpu s (Samuelson & No dhaus, 2010).
P oduc i i y has been used o long ime o measu e economic pe o mance. By use
o p oduc i i y as he measu e o economic pe o mance, high p oduc i i y has been
iden i ied as a sign o economic compe i i eness and e iciency in i s p oduc ion
cycle, while low p oduc i i y has been always a ilia ed wi h a low powe o p oduce
and se ice leading o weak end o economic g ow h (Shebeb, 2000). The e a e
many di e en ypes o measu ing p oduc i i y, such single ac o p oduc i i y ha
measu es ou pu o one ac o o inpu s and mul i ac o p oduc i i y (MFP), which
calcula es by di iding ou pu o mul i ac o o inpu s (OECD, 2001). The decision o
he measu emen me hod o any ype is mos ly based on i s pu pose and a ailabili y
o da a. Labo p oduc i i y, capi al p oduc i i y, and mul i ac o p oduc i i y (MFP)
a e ypes o p oduc i i y measu emen s. MFP p oduc i i y is calcula ed by di iding
ou pu o all ac o s o inpu (labo , capi al, and ma e ials), he labo p oduc i i y
measu es he pe uni p oduced by labo in such wo king hou s, and he capi al
p oduc i i y is ei he p oduced by ou pu o capi al o pe wo ke .
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The measu emen o economic p oduc i i y ha been linked wi h g ow h accoun ing
amewo k and oo ed wi h p oduc ion heo y is back o he wo k o Jan Tinbe gen
(1942), and Robe Solow (1956) because o hei o mula ing amewo k. Since ha
ime, many majo con ibu ions ha e been done by esea che s o analyze he
phenomenon o economic g ow h and i s ac o s. Today, as a esul , he p oduc ion,
heo e ical app oach o measu e he p oduc i i y o e s a consis en oadmap
(OECD, 2001). A p oduc ion unc ion is a ma hema ical o mula which pu s in ela ion
he ou pu ob ained and he sum o he p oduc ion ac o s such as capi al, labo , and
echnology. The g ow h co esponds o he g ow h in he p oduc ion ob ained by he
simple inc ease in he quan i y o ac o s o p oduc ions. Hence, he p oduc ion o
goods and se ices is due o combina ions o ac o s o p oduc ion (Miles, e al.,
2012; Olah & Paku á , 2013). In e ms o indus y ou pu , he g ow h accoun ing
echniques help o examine he a e o change o combined ac o s. P oduc ion
ac o s a e also e e ed o as ac o s which ha e been used o measu e he
p oduc i i y o coun ies’ economies (Na zige , 2006; O'Mahony & Timme , 2009).
The e ha e been a ious o ms o p oduc i i y measu es all aimed a ensu ing
e iciency in he way economy con e s inpu o ou pu by he use o he a ailable
esou ces. Thus, he g ow h accoun ing app oach is used o analyze he h ee main
di isions (p ima y, manu ac u e, and se ice sec o s) o UAE’s economy as
explained in da a and me hodology pa .
Jus like o he de eloping coun ies, he UAE has come up wi h s a egies o aim a
imp o ing na ional p oduc i e capaci y as a way o imp o ing i s economic
de elopmen (IMF, 2015). This has led o sus ainable economic de elopmen in he
coun y ha has educed i s eliance on oil as he majo con ibu o o he na ion’s
GDP. Figu e 1 shows he mo ing end o o al p oduc ion (GDP), non-oil p oduc ion,
capi al inpu , and labo inpu om yea 1990 o 2015. The inpu s such as labo and
capi al indica e a sha p ise om 1990-2015. Howe e , due o he decline in wo ld
oil p ice a e 2007 he coun y's o al p oduc ion exp esses a downwa d end.
Al hough, he descen o he o al p oduc ion, he p oduc ion o non-oil sec o
imp o ed owa ds he upside indica ing he success o he s a egy in he UAE o
educe dependence on oil e enues.
Figu e 1. To al P oduc ion and Inpu s Mo ing T end (1990-2015).
Sou ce: (FCSA, 2016).
3. Da a and Me hodology
Economic sec o al app oach as he pu pose o his s udy was di ided in o h ee
di isions like he p ima y sec o , he manu ac u e sec o , and he se ice sec o . The
economic sec o al disagg ega ion is classi ied acco ding o he in e na ional
-
2.000
4.000
6.000
-
500.000
1.000.000
1.500.000
1990 1995 2000 2005 2010 2015
Thousands
Millions
To al P oduc ion Non-oil P oduc ion Capi al Inpu Labo Inpu
The Annals o he Uni e si y o O adea. Economic Sciences, Tom XXVI 2017, Issue 2  273
s anda d indus ial classi ica ion (ISIC) issued by Uni ed Na ions (UN) in yea 2008.
These sec o s a e ag icul u e, li es ock and ishing, mining and qua ying,
manu ac u ing indus ies, elec ici y, gas and wa e , cons uc ion, wholesale, e ail
ade and epai ing se ices, es au an s and ho els, anspo , s o age and
communica ion, eal es a e and business se ices, social and pe sonal se ices, he
inancial co po a ions sec o , go e nmen se ices sec o (Na ions, 2008). This pa
o he pape conside s he h ee majo sec o s as adi ionally di ided by Uni ed
Na ions and Wo ld Bank o h ee sec o s (Boswo h & Collins, 2008). The p ima y
sec o is composed o ag icul u e, ishing, and li es ock, he manu ac u e sec o is
composed o manu ac u ing, mining, cons uc ion, and u ili ies, and he las one is
he se ice sec o ha includes he es o economic di isions, which p o ides
in angible p oduc s.
Th ee main da a has been collec ed o s udy by economic sec o al app oach. The
o al ou pu exp essed by GDP o each di ision o he economic sec o , capi al
accumula ion, and labo we e sou ced om UAE Fede al Compe i i eness and
S a is ics Au ho i y (FCSA), excep he da a om 2011-2015 o labo , which was
es ima ed by esea che s based on wo assump ions as ollow:
 Taken he yea 2010 as a basis o gene a e he pe cen age o con ibu ion
o he numbe o wo ke s o any sec o o nex yea .
 P esumed he numbe o wo ke s in a ce ain pe cen age o he popula ion
acco ding o p e ious yea s' da a.
The UAE’s na u al popula ion o which he majo i y a e o eigne s coming in o he
coun y h ough a sponso ing sys em in oduced by UAE’s ci izens in e m o occupy
an open job. So, he UAE has a unique cha ac e is ic, he unemploymen a e is e y
low and he UAE’s ci izens make up a ound 15% o he o al popula ion and 85% a e
immig an s (WB, 2016). Thus, he popula ion da a we e aken om Wo ld Bank (in
he absence o he s a e’s da a), hen gene a ed he changed a ios om yea 2009
o 2010 and hese a ios we e implemen ed by adding in sequence o he popula ion
o each yea 2011, 2012, 2013, 2014, and 2015. The au ho belie ed ha he mos
can be used.
In 1957, Robe Solow was he ini ia i e o p opose a o mal model o g ow h ha pu
he ole o he ac o s o p oduc ion on p oduc i i y (Solow, 1957). This model (1) is
g ounded on a p oduc ion unc ion o wo ac o s: he labo and capi al. The
p oduc ion (Y) esul s he e o e exclusi ely o he implemen a ion o he combina ion
o a ce ain quan i y o capi al (K) and labo (L). The hi d ac o o p oduc ion ha
has been in oduced by neoclassical school (Solow, 1956) was echnological
p og ess (A), which known as “Solow esidual”. Solow esidual is ob ained as he
emain o sub ac ing inpu s om ou pu . In gene al, called o al ac o p oduc i i y
(TFP), which ep esen s no only he echnology used bu also he imp o emen s in
p oduc ion p ocess, inno a ions, p ac ice o managemen and ins i u ion, skills, e c.
And acco ding o Solow (1957) TFP is he mos signi ican ac o needed o achie e
sus ained economic g ow h in he long e m.
Y=A
(K,L) (1)
The g ow h accoun ing ool is like he exponen ial g ow h unc ion o m, ha helps o
exp ess he sha e con ibu ion o ac o s o p oduc ion (Hul en, 2010). The g ow h
accoun ing amewo k doesn' gi e answe s o he undamen al causes o g ow h,
bu i iden i ies he impo an sou ces o g ow h (OECD, 2001). The me hodology
employed in his s udy is quan i a i e and desc ip i e, and g ow h accoun ing
amewo k is used o analyze he sha e o con ibu ion o h ee inpu s (capi al, labo ,
The Annals o he Uni e si y o O adea. Economic Sciences, Tom XXVI 2017, Issue 2  274
and TFP) in he analysis. The Cobb-Douglas p oduc ion unc ion is used o analyze
he a iables in long- un g ow h (Wol , 1994), and also wi hin a g oup o pe iods o
ime. This amewo k akes his o m wi h espec o ime is gi en:
Y
u
=A
u
K
u
L
u
0Bw
(2)
Whe e [Y
u
]: no ed as sec o ’s ou pu , [K
u
]: ep esen s he sec o ’s capi al s ock, [L
u
]:
ep esen s he sec o ’s numbe o wo ke s, [A
u
]: as o al ac o p oduc i i y, [α]:
ep esen s he capi al’s sha e, [α − 1]: as labo ’s sha e, and assuming diminishing
e u n o scale ha capi al’s sha e is 0.3 and labo ’s sha e equal 0.7 (Pike y, 2014).
Also, assuming compe i i e ma ke , cons an e u ns o scale, compe i i e ma ke
ac o s, and neu al echnical p og ess (Solow, 1956). The change in ou pu i back
o he h ee a iables, he al e a ion in he capi al s ock, change he numbe o
wo ke s, and imp o e in TFP (Wol , 1994).
By illus a e he p ac ice equa ions: o he i s a iable, capi al, esul ing om
change in he cu en alue K
u
o alue K
u
+∆K, which conside ed an inc ease in
change in p opo ional amoun o capi al
∆|
|
}
. I we apply a ule-o - humb ha capi al
aised o [α], which he p opo ional amoun inc ease in ou pu om he change o
capi al s ock as equa ion:
∆Y
Y
u
=α∆K
K
u
(3)
Fo he second a iable, labo , in e m o an inc ease in labo om L
u
o a alue L
u
+
∆L as p opo ional amoun ∆L/L. In labo a iable aised o [1 − α], so can disco e
he amoun inc ease in ou pu because o change in labo is:
∆Y
Y
u
=(1−α
)∆L
L
u
(4)
Change in TFP as hi d a iable, in e ec o change in ou pu because change in his
a iable. Any p opo ional amoun inc ease will p oduce he same amoun in ou pu :
∆Y
Y
u
=∆A
A
u
(5)
The e o e, i conside ing all h ee a iables changing in p ac ice so including
equa ion (3), (4), and (5), hen he p opo ional g ow h a e o sec o ’s ou pu , and
ew i e in loga i hm o o m as log-line equa ion (6):
ln ∆Y
Y
u
=α.ln∆K
K
u
+(1−α
).ln∆L
L
u
+ln∆A
A
u
(6)
Thus, looking in equa ion (6), he i s pa α(∆K K)
⁄ ep esen ing he con ibu ion o
capi al in sec o ’s ou pu g ow h, he second pa , (1 − a) (∆L L)
⁄ ep esen ing he
con ibu ion o labo o sec o ’s ou pu g ow h, and (∆A A)
⁄ as hi d pa ha gi ing
he con ibu ion o TFP in sec o ’s ou pu g ow h.
4. G ow h accoun ing esul s o economic sec o app oach in UAE.
Table 1 desc ibes he calcula ion o each economic sec o (p ima y, manu ac u e,
and se ice) as classi ied in long ime-se ies om 1990-2015 and in g oup o pe iods
o ime om1990-2000, 2000-2010, and 2010-2015. In he pe iod o 1990-2015
se ice sec o wi h 8.37% shows a highe g ow h in GDP’s ou pu compa ed o he
p ima y and he manu ac u e sec o s, whe e his a e was 6.7% and 6.88%
espec i ely. F om he pe iod o 1990-2000 he a e age g ow h a e was highe in
he p ima y sec o (14.82%) compa ed by he manu ac u e and he se ice sec o s
wi h 6.0% and 5.89% espec i ely. Fu he mo e, he manu ac u e sec o had a

The Annals o he Uni e si y o O adea. Economic Sciences, Tom XXVI 2017, Issue 2  275
highe g ow h o abou 12.75% han he se ice sec o wi h 10.49%, speci ically om
2000-2010. Howe e , be ween 2010-2015 he se ice sec o gained a g ow h o
abou 7.99% ollowed by he manu ac u e sec o wi h a g ow h o 4.01% m. Thus, i
be concluded ha he de elopmen o a e age annual g ow h a e was gene a ed
mainly by he p ima y sec o in 1990-2000, hen by he manu ac u e sec o in 2000-
2010, and inally by he se ice sec o in he pe iod o 2010-2015. In gene al, se ice
sec o was ollowed by he manu ac u e sec o , which hey we e mo e g own om
1990-2015.
Table 1. G ow h Accoun ing calcula ion o Economic sec o s om (1990-2015).
A e age Annual Sha e o G ow h
G ow h Ra es Due o:
P ima y Y K L A K L A
1990-2015 6.70% 1.59% 4.71% 0.40% 24% 70% 6%
1990-2000 14.82% 5.33% 6.75% 2.73% 36% 46% 18%
2000-2010 1.98% -1.84% 4.15% -0.34% -93% 210% -17%
2010-2015 1.44% 0.62% 1.09% -0.27% 43% 75% -19%
Manu ac u e Y K L A K L A
1990-2015 6.88% 3.08% 5.93% -2.13% 45% 86% -31%
1990-2000 6.00% 1.82% 6.02% -1.83% 30% 100% -31%
2000-2010 12.75% 5.05% 7.61% 0.09% 40% 60% 1%
2010-2015 4.01% 1.31% 1.09% 1.61% 33% 27% 40%
Se ice Y K L A K L A
1990-2015 8.37% 4.13% 5.21% -0.97% 49% 62% -12%
1990-2000 5.89% 3.97% 4.93% -3.01% 67% 84% -51%
2000-2010 10.49% 4.73% 6.98% -1.22% 45% 66% -12%
2010-2015 7.99% 1.69% 1.09% 5.22% 21% 14% 65%
Sou ce: he calcula ion done by he esea che based on da a om FCSA.
In e m o capi al accumula ion (Table 1), he se ice sec o wi h 4.13%, was highe
in annual a e age g ow h om 1990-2015 ollowed by he manu ac u e sec o wi h
3.08%. On he o he side, o he pe iod om 1990 o 2000 i was highe in he
p ima y sec o (5.33%). Fu he mo e, he manu ac u e sec o wi h 5.05% was highe
as well was in he same pe iod.. The a e age annual g ow h a e o labo was
be ween 1.09% and 7.61, namely highe compa ed o he capi al accumula ion.
Thus, he g ow h in he manu ac u e sec o was he highes wi h almos 6%
compa ed o 5.21% and 4.71 in he se ice and manu ac u e sec o s espec i ely.
The echnology ac o was mos ly gi en nega i e igu e be ween 2010-2015 unlike
he se ice sec o wi h a g ow h o 5.22%. In close, he annual a e age g ow h in
labo was he highes in all sec o s a di e en g oup o pe iods. In addi ion, he TFP
g ew in he se ice sec o be ween 2010-2015.
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Acco ding o Table 1 he con ibu ion o ou pu g ow h sha e was d i en by labo in
all sec o s and pe iods o ime. F om 1990-2015, he sha e o g ow h due o labo
was 70%, 86%, and 62% as compa ed o he sha e o g ow h due o capi al in same
pe iod wi h 24%, 45%, and 49%, o he p ima y, he manu ac u e, and he se ice
sec o s, espec i ely. Also, he sha e o g ow h due o capi al declined be ween
2010-2015 in he se ice sec o and manu ac u e sec o , unlike he si ua ion in
p ima y sec o , whe e i inc eased. TFP had nega i e igu es, unlike in he p ima y
sec o om 1990-2015. In addi ion, he sha e o g ow h o TFP be ween 2010-2015
dese ed posi i e alue in he manu ac u e and se ice sec o . The sha e o g ow h
due o TFP was highe compa ed o capi al and labo wi h 65% and 40% in he
se ice and he manu ac u e sec o s, espec i ely in he pe iod o 2010-2015.
In conclusion, he pa h o de elopmen o he h ee sec o s s a ed wi h he p ima y
sec o om he pe iod 1990-2000, hen he manu ac u ing sec o be ween 2000-
2010, and las ly he se ice sec o in he pe iod 2010-2015. In gene al, he se ice
sec o con ibu ed mo e o he g ow h ollowed by he manu ac u ing sec o be ween
1990-2015. The con ibu ion o labo was signi ican ly o he ou pu g ow h in all
sec o s due o he inc ease o he numbe o labo and no o he imp o emen in
TFP. In addi ion, he sha e o capi al accumula ion o he g ow h dese ed highe
g ow h in he manu ac u ing and he se ice sec o s owing o he huge in es men s
aken place.
5. Discussion
The s udy p o ided a be e unde s anding o he s ages o g ow h in he economic
sec o s o he UAE. The esul s eached he s age o de e mining he ac ual mo ing
o he UAE economy om ag icul u e o o he sec o s such as he se ices and he
indus y. I can be s a ed ha he shi happened in he UAE economy has been
obse ed om he beginning o yea 2000 wi h he se ice and manu ac u ing we e
con ibu ed mo e o UAE’s GDP. On he o he side, i can be concluded ha he
impac o g ow h in ou pu was due mos ly o inc ease in he numbe o wo ke s.
6. In conclusion
The g ow h accoun ing app oach was used o examine he di ision o UAE’s
economy h ough h ee sec o s acco ding o he classi ica ion o he UN. The
calcula ed esul s con ibu e o he unde s anding o he s age o de elopmen o
UAE’s economy, and which sec o was olling a speci ic pe iod o ime. The e o e,
esul s can be pu in wo pe spec i es as below:
Annual a e age g ow h a e:
 F om 1990-2015, he ou pu o he se ice sec o was dese ed he highes
annual a e age g ow h a e abou 8.37%, which ollowed by he
manu ac u ing sec o abou 6.88%.
 F om 1990-2015, he annual a e age g ow h a e o he labo inpu s was
domina ed a all h ee sec o s o he economy, whe e i was 4.71%, 5.95%,
and 5.21% in he p ima y sec o , he manu ac u ing sec o , and he
inspec ion and epai sec o , espec i ely.
 F om 1990-2015, he annual a e age g ow h a e o he capi al
accumula ion dese ed highe g ow h in he se ice sec o and he
manu ac u ing sec o , whe e we e 4.13% and 3.08%, espec i ely.
 F om 1990-2015, he annual g ow h a e o TFP was nega i e in he se ice
and he manu ac u ing sec o s, unlike he p ima y sec o .
The Annals o he Uni e si y o O adea. Economic Sciences, Tom XXVI 2017, Issue 2  277
 F om 1990-2000, ou pu o he p ima y sec o dese ed highe annual
a e age g ow h a e abou 14.82%.
 F om 2000-2010, he ou pu o he manu ac u ing sec o dese ed highe
annual a e age g ow h a e abou 10.49%
 F om 2010-2015, he ou pu o he se ice sec o eco ded he highe annual
g ow h a e whe e i was 7.99%.
 F om 2010-2015, he annual g ow h a e o TFP was posi i e in he
manu ac u ing and he se ice sec o s whe e hey we e 1.61% and 5.22%,
espec i ely.
Con ibu ion sha e o g ow h due o p oduc ion ac o s:
 F om 1990-2015, he sha e o g ow h due o he labo was dese ing
signi ican impac o he g ow h o each sec o , whe e was 70%, 86%, and
62% in he p ima y, he manu ac u ing, and he se ice sec o s, espec i ely.
 F om 1990-2015, he sha e o g ow h due o he capi al we e 24%, 45%, and
49%, o he p ima y, he manu ac u e, and he se ice sec o s, espec i ely.
 F om 1990-2015, he sha e o g ow h due o TFP was posi i e only in he
p ima y sec o abou 6%, whe e i was nega i e in he manu ac u ing and
he se ice sec o s which we e -31% and -12%, espec i ely.
7. Acknowledgemen s
I would like o s a e my since e app ecia ion o my ad ise , P o . D . Popp, Józse .
Head o Ká oly Ih ig Doc o al School o Managemen and business, o his con inued
suppo o my PhD s udy and ela ed esea ch, as conside ably as o his pa ience,
mo i a ion, and immense knowledge.
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