Large productivity gaps across sectors persist and the process of structural transformation is stagnant in many developing economies. This wedge between observed and optimal labor allocations reflects the presence of institutional and market frictions, which impose costs on the optimal reallocation of labor from low- to high-productivity sectors. Using a panel of cross-country sector-level data, I estimate a dynamic panel error correction model that captures the dynamics of sectoral labor flows. The model estimates provide a new set of stylized facts on the dynamics of the structural transformation process and a measure of the magnitude of frictions facing labor flows. In addition, I analyze the contribution of labor regulations and reforms to the pace at which labor flows across economic sectors. Results suggest that policy reforms need to steer between the goal of easing job creation and destruction, while supporting labor supply incentives to reallocate through strong social nets, labor protection, and risk sharing.

各部门之间的巨大生产力差距持续存在，许多发展中经济体的结构转型进程停滞不前。观察到的劳动力分配和最优劳动力分配之间的这种楔子反映了制度和市场摩擦的存在，这对劳动力从低生产率部门到高生产率部门的最优重新分配施加了成本。使用一组跨国部门层面的数据，我估计了一个动态的面板误差校正模型，该模型捕捉了部门劳动力流动的动态。模型估计提供了一组关于结构转型过程动态的新的程式化事实，并衡量了劳动力流动面临的摩擦程度。此外，我分析了劳动法规和改革对劳动力跨经济部门流动速度的贡献。