The Unequal Effects of Liberalization: Evidence from Dismantling the License Raj in India

Philippe Aghion, Robin Burgess, Stephen Redding and Fabrizio Zilibotti

American Economic Review, 2008, vol. 98, issue 4, 1397-1412

Abstract: We study whether the effects on registered manufacturing output of dismantling the License Raj—a system of central controls regulating entry and production activity in this sector—vary across Indian states with different labor market regulations. The effects are found to be unequal across Indian states with different labor market regulations. In particular, following delicensing, industries located in states with pro-employer labor market institutions grew more quickly than those in pro-worker environments. (JEL J50, L52,L60, O14, O15, O25)

JEL-codes: J50 L52 L60 O14 O15 O25 (search for similar items in EconPapers)
Date: 2008
Note: DOI: 10.1257/aer.98.4.1397
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Citations: View citations in EconPapers (303)

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Related works:
Working Paper: The Unequal Effects of Liberalization: Evidence from Dismantling the License Raj in India (2008)
Working Paper: The Unequal Effects of Liberalization: Evidence from Dismantling the License Raj in India (2007)
Working Paper: The Unequal Effects of Liberalization: Evidence from Dismantling the License Raj in India (2006)
Working Paper: The Unequal Effects of Liberalization: Evidence from Dismantling the License Raj in India (2006)
Working Paper: The unequal effects of liberalization: evidence from dismantling the License Raj in India (2006)
Working Paper: The Unequal Effects of Liberalization: Evidence from Dismantling the License Raj in India (2006)
Working Paper: The Unequal Effects of Liberalization: Evidence fromDismantling the License Raj in India (2005)
Working Paper: The unequal effects of liberalization: evidence from dismantling the license Raj in India (2005)
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