Factor Employment, Sources and Sustainability of Output Growth: Analysis of Indian Manufacturing

Arvind Virmani and Danish A. Hashim

Working Papers from eSocialSciences

Abstract: The manufacturing sector in India is crucial for two main reasons: It has significant potential to provide modern employment to a growing labour force, especially that of less skilled type and second by its own healthy growth, stimulate and provide a foundation for, organic growth in other sectors of the economy. On both these counts, however, the manufacturing sector has so far not performed to its potential. In an attempt to identify the factors responsible for this phenomenon, the present study examines in detail the main determinants of factor employment, their shares, and output growth. The framework used is a CES production function estimated using ASI time-series data for the organised manufacturing industry spanning a period from 1973/74 to 2001/02. The study also dwells on the subject of sustainability of high growth in output on the back of raising capital labour ratio. [Working Paper No.3 /2009-DEA].

Keywords: industry; sustainability; labour-surplus; CES; production function; manufcturing sector; India; development policy; Asian countries; total factor productivity (TFP); output growth; employment; India; labour force; economy; capital labour ratio (search for similar items in EconPapers)
Date: 2010-02
New Economics Papers: this item is included in nep-cwa, nep-eff and nep-fdg
Note: Institutional Papers
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
http://www.esocialsciences.org/Download/repecDownl ... &AId=2415&fref=repec

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ess:wpaper:id:2415

Access Statistics for this paper

More papers in Working Papers from eSocialSciences
Bibliographic data for series maintained by Padma Prakash ().