Some aspects of changes in Kenya's import structure.

Abstract

Changes in the structure of imports in a developing country are closely associated with the level and progress of industrialisation. Industrialisation in these economies at the initial stage tends to be restricted by the available level of skill and organisational ability, to the simpler processes which are typical of non-durable consumer goods .At this stage obviously imports of intermediate and capital goods increase, but it is also evident from the empirical studies that the imports of consumer goods increase, even those which are now manufactured domestically, but to the expansion of the size of the market . Income elasticises of demand for consumer goods at the initial stage of industrialisation appear to be high in these economies. With the progress of industrialisation new skills and organisational abilities emerge, while the expanding markets allow new industries - in course of time intermediate and capital goods producing industries. These would naturally lead to changes in the composition of imports.