What is holding back productivity growth in India ?

Dougherty, S. M.; Herd, Richard; Chalaux, Thomas

doi:10.1787/eco_studies-v2009-art3-en

Cited by 26 publications

(23 citation statements)

References 30 publications

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“…Most authors attribute this in part to stringent labor regulations that impose costs on labor use, driving firms to substitute capital for labor (Hasan and others 2012). Also, this high capital intensity is out of line with India's revealed comparative advantage estimates and relative prices (Dougherty, Herd, and Chalaux 2009).…”

Section: Resultsmentioning

confidence: 74%

Exports to Jobs: Boosting the Gains from Trade in South Asia

Artuç¹,

Lopez-Acevedo²,

Robertson³

et al. 2019

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Th is work is a copublication of the World Bank and the International Labour Organization. Th e fi ndings, interpretations, and conclusions expressed in this work do not necessarily refl ect the views of Th e World Bank, its Board of Executive Directors, or the governments they represent, or those of the International Labour Organization. Th e World Bank and the International Labour Organization do not guarantee the accuracy of the data included in this work. Th e boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of Th e World Bank or the International Labour Organization concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Nothing herein shall constitute or be considered to be a limitation upon or waiver of the privileges and immunities of Th e World Bank or the International Labour Organization, all of which are specifi cally reserved.

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Section: Resultsmentioning

confidence: 74%

Exports to Jobs: Boosting the Gains from Trade in South Asia

Artuç¹,

Lopez-Acevedo²,

Robertson³

et al. 2019

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“…It contributes to the economy, promotes growth, provides employment to the masses, and established a linkage between the economy and other industries ([2] [3] [4]. The construction sector is the engine of growth for a country and creates a flow of services and goods with other sectors [5]. Improving construction productivity enables to save the cost of per capita and also increase the revenue of the firms.…”

Section: Construction Industrymentioning

confidence: 99%

“…The majority of the construction projects are suffering from two main issues those are delay in completion, and cost overrun. According to [1]- [5] poor productivity is one of the primary reasons for it. The productivity of a construction project is affected by a number of attributes either directly or indirectly.…”

Section: Introductionmentioning

confidence: 99%

Critical analysis of factors affecting the on-site productivity in Indian construction industry

Dixit¹,

Mandal²,

Thanikal³

et al. 2018

Creative Construction Conference 2018 - Proceedings

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The growth in construction productivity is low and do not continue for a long span of time. The purpose of the present research paper is to identify the factors affecting the on-site construction productivity, from the literature review and through a focused interview with industry professionals. The most relevant 18 attributes have been finalized for the study, and a total of 154 complete data collection is targeted for the study form major contractors, developers and consultants throughout India. The convenient sampling technique is used to collect the data. The collected data has been analyzed using relative importance index (RII) to priorities the variable on the basis of their relative importance. The findings of the study conclude that the most significant 3 attributes affecting on-site construction productivity are planning and scheduling, availability of material, and storage area for a material having a relative value of 0.78, 0.76, and 0.75 respectively. SPSS 21 software tool has been used to check the reliability of the data and to perform factor analysis. The factors are site management, competency management, commitment and coordination management, resource management, and planning explains a variance of 15%, 11.5%, 10.3, 9.1, and 7.1% respectively. The research paper attempts to provide an insight and better understanding of the factors affecting on-site construction productivity in India and the ways and means to control and improve construction productivity of construction projects.

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“…17 We believe that the use ofα to measure the intrinsic labor intensity in each industry is superior to the use of the share of labor expenditures in total output. The use of the estimated output elasticity with respect to labor overcomes the potential biases that the ratio of labor expenditures to output may have due to the endogeneity of the plant's input choices.…”

Section: Econometric Modelmentioning

confidence: 99%

“…They show that a residual measure of TFP that comes from value added is not independent of the use of intermediate inputs and factor input growth when there are increasing or decreasing returns to scale. 17 Again, this specification follows the one of Rs and facilitates the exposition of the results.…”

Section: Econometric Modelmentioning

confidence: 99%

Employment Protection Legislation and Plant-Level Productivity in India

Dougherty

Robles

Krishna

2011

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Using plant-level data from the Annual Survey of Industries (ASI) for the fiscal years from 1998-99 through 2007-08, this study provides plant-level cross-state/time-series evidence of the impact of employment protection legislation (EPL) on total factor productivity (TFP) and labor productivity in India. Identification of the effect of EPL follows from a difference-in-differences estimator inspired by Rajan and Zingales (1998) that takes advantage of the state-level variation in labor regulation and heterogeneous industry characteristics. The fundamental identification assumption is that EPL is more likely to restrict firms operating in industries with higher labor intensity and/or higher sales volatility. Our results show that firms in labor intensive or more volatile industries benefited the most from labor reforms in their states. Our point estimates indicate that, on average, firms in labor intensive industries and in flexible labor markets have TFP residuals 14% higher than those registered for their counterparts in states with more stringent labor laws. However, no important differences are identified among plants in industries with low labor intensity when comparing states with high and low levels of EPL reform. Similarly, the TFP of plants in volatile industries and in states that experienced more pro-employer reforms is 11% higher than that of firms in volatile industries and in more restrictive states; however, the TFP residuals of plants in industries with low labor intensity are 11% lower in high EPL reform states than in states with lower levels of EPL reform. In sum, the evidence presented here suggests that the high labor costs and rigidities imposed through Indian federal labor laws are lessened by labor market reforms at the state level.

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What is holding back productivity growth in India ?

Cited by 26 publications

References 30 publications

Exports to Jobs: Boosting the Gains from Trade in South Asia

Exports to Jobs: Boosting the Gains from Trade in South Asia

Critical analysis of factors affecting the on-site productivity in Indian construction industry

Employment Protection Legislation and Plant-Level Productivity in India

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