Impact of Trade Liberalisation on Employment in Indian Manufacturing: Evidence from the Organised Sector

Shashanka Bhide and Kaliappa Kalirajan ()

Journal of Social and Economic Development, 2004, vol. 6, issue 1, 1-19

Abstract: Manufacturing has been seen as a means of economic development in the country since independence. Moving people out of agriculture for better wages meant the need to develop a diversified and growing industrial sector. The economic reforms launched in the early 1990s were rooted in the need for removing various constraints on economic growth. These reforms provided new opportunities for investment by the private sector and greater import competition for the domestic producers. This paper is an attempt to assess the impact on employment in response to the reforms initiated in the 1990s. The paper examines the impact of the reforms on employment by decomposing employment into average size of the firm, labour intensity of output, and number of firms in the industry.

Date: 2004
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