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1
Kuznets Lecture
Yale University
NEW STRUCTURAL ECONOMICS
A Framework for Rethinking Development1
Justin Yifu Lin
Senior Vice President and Chief Economist
World Bank
March 1, 2011
1 The main arguments of this paper were presented at DEC’s fourth Lead Economists Meeting and at Lin’s first
anniversary at the Bank on June 2, 2009. A shorter version of th e paper was presented at the conference on
―Challenges and Strategies for Promoting Economic Growth ,‖ organized by the Banco de México in Mexico City on
October 19-20, 2009, and at public lectures in Cairo University on November 5, 2009, Korean Development
Institute on November 17, 2009, OECD on December 8, 2009, UNU-WIDER on January 19, 2010, and Stockholm
Institute of Transitional Economics on January 21, 2010. Celestin Monga provided invaluable help in preparing this
paper. The paper also benefits from discussions and comments from Gary Becker, Otaviano Canuto, Ha -Joon
Chang, Luiz Pereira Da Silva, Augusto de la Torre, Christian Delvoie, Asli Demirgüç-Kunt, Shantayanan
Devarajan, Hinh T. Dinh, Shahrokh Fardoust, Ariel Fiszbein, Robert Fogel, Alan Gelb, Indermit S. Gill, Ann
Harrison, James Heckman, Aart Kraay, Auguste Tano Kouame, Norman V. Loayza, Frank J. Lysy, Shiva S. Makki,
William F. Maloney, Mustapha Kamel Nabli, Vikram Nehru, Howard Pack,
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