Dual Sector Model / Lewis Model
Version 1.0.0 · Updated 2026-07-28
CORE DEFINITION
The Dual Sector Model, also known as the Two-Sector Model, is a development economics model proposed by the American economist William Arthur Lewis, winner of the 1979 Nobel Prize in Economics, in his 1954 paper "Economic Development with Unlimited Supplies of Labour."
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The Dual Sector Model, also known as the Two-Sector Model, is a development economics model proposed by the American economist William Arthur Lewis, winner of the 1979 Nobel Prize in Economics, in his 1954 paper "Economic Development with Unlimited Supplies of Labour."
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Lewis Model: The traditional sector has near-zero marginal productivity and unlimited labor supply; the modern sector absorbs labor at institutional wages; as surplus labor is exhausted, wages rise, leading to the "Lewis turning point," and the dual structure transitions to a unified one.
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Source support: Explicit
- zh.wikipedia.orghttps://zh.wikipedia.org/wiki/%E4%BA%8C%E5%85%83%E7%BB%8F%E6%B5%8Everified
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