Changes in sectoral composition associated with economic growth

In this paper I use dynamic general equilibrium methods to examine the interrelationship between sectoral composition and growth. I show that growth is affected by sectoral composition, and vice versa. The model is basically a Solow model of sustained growth with multiple consumption goods and nonhomothetic preferences. Each consumption good is produced using different factor intensities. The rate of exogenous technological change is different in each sector. Nonhomotheticity of preferences drives the result that sectoral composition affects growth rates.