Winners and Losers from Structural Reforms in India

Maria Bas and Antoine Berthou

La Lettre du CEPII, 2013, issue 329

Abstract: The analysis of structural reforms that took place in the 1990s in India reveals interesting insights in the context of the actual debate for further liberalization of the services sector. Trade liberalization and the reform of the banking sector have improved aggregate productivity of the manufacturing sector in India. The effects seem to be different across firms: it has mostly benefitted the ones which were initially efficient. This might have led to a reallocation of ressources from the least to the most productive firms.

Date: 2013-01
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