Capital Accumulation as a Fundamental Determinant of Structural Changes in SSA
The aim of this paper is to verify the importance of capital accumulation in structural development of sub-Saharan
economies. We employ cluster analysis to group sub-Saharan economies into clusters based on the similarity of their
structural development. We then examine the structural development of these clusters in the light of empirical stylized facts.
Theoretically, successful clusters (in terms of their structural development) should exhibit the fastest pace of capital
accumulation which is the fundamental determinant of structural changes. In general, our results support this argument,
albeit with some reservations.
Index terms- Structural change, Economic structure, Sub-Saharan Africa, Capital accumulation.