EconPapers    
Economics at your fingertips  
 

Can Labor Regulation Hinder Economic Performance? Evidence from India

Timothy Besley and Robin Burgess

The Quarterly Journal of Economics, 2004, vol. 119, issue 1, 91-134

Abstract: This paper investigates whether the industrial relations climate in Indian states has affected the pattern of manufacturing growth in the period 1958–1992. We show that states which amended the Industrial Disputes Act in a pro-worker direction experienced lowered output, employment, investment, and productivity in registered or formal manufacturing. In contrast, output in unregistered or informal manufacturing increased. Regulating in a pro-worker direction was also associated with increases in urban poverty. This suggests that attempts to redress the balance of power between capital and labor can end up hurting the poor.

Date: 2004
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (764)

Downloads: (external link)
http://hdl.handle.net/10.1162/003355304772839533 (application/pdf)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Can Labour Regulation Hinder Economic Performance? Evidence from India (2002) Downloads
Working Paper: Can Labour Regulation Hinder Economic Performance? Evidence from India (2002) Downloads
Working Paper: Can labour regulation hinder economic performance? Evidence from India (2002) Downloads
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:oup:qjecon:v:119:y:2004:i:1:p:91-134.

Ordering information: This journal article can be ordered from
https://academic.oup.com/journals

Access Statistics for this article

The Quarterly Journal of Economics is currently edited by Robert J. Barro, Lawrence F. Katz, Nathan Nunn, Andrei Shleifer and Stefanie Stantcheva

More articles in The Quarterly Journal of Economics from President and Fellows of Harvard College
Bibliographic data for series maintained by Oxford University Press ().

 
Page updated 2025-03-26
Handle: RePEc:oup:qjecon:v:119:y:2004:i:1:p:91-134.