We divide countries into agrarian, dual and economically mature groups, as suggested by Fei and Ranis (1966), to account for the different phases of development, and extend the typology for
dual economies with a sub-division between beginner, intermediate and advanced.
Among those who recognised the reality of involuntary unemployment were John Maynard Keynes and Arthur Lewis, who incorporated it into his model of
dual economies, in which urban wages do not respond to labour-supply gluts and remain above what rural workers earn.
In many developing countries a new trend has emerged that is similar to the so-called
dual economies of former colonies.
One of the seminal contributions in development economics builds around the idea that developing countries are '
dual economies' (Lewis 1954; Singer 1970).
Congress said that the use of capital-intensive technology has contributed to the development of
dual economies consisting of a small percentage of well-paid workers with a large percentage of workers poorly paid and experiencing stagnation.
Appreciating how wages affect wider populations--and how people's lives 'transcend
dual economies'--must mean taking a spatial perspective (see Bolt 2012).
BRICs' greatest commonalities lie in the scale of their geographic and human resources: they are
dual economies and dual societies (Paraschiv, 2013), with proportionally small wealthy urban elites presiding over large rural populations.
Pertierra, a researcher studying consumer culture, media, and domestic life in Cuba and Central America, presents this volume on scarcity and
dual economies in Cuban culture.
High concentrations of ethnic or immigrant populations may also contribute to the existence of
dual economies. In their recent study, "The Cash Centric Behavior of the Hispanic Community," economics professors Radha Bhattacharya and Denise Stanley surveyed 217 Hispanic individuals in Orange County, California to determine money management preferences and identify possible connections to demographic and cultural profiles.
Illinois and Minnesota are good examples of states with
dual economies. Rural counties around metro areas experience growth, while others lose population.
(The TVEs started to hire outside workers only in the later period when the local surplus labor were totally exhausted.) These features are quite different from the
dual economies in other developing countries.
I am also surprised by the author's conclusion that the Lewis (1954) model does not work well in
dual economies (segmented markets), such as Indonesia, where there is high government intervention.