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Labour use and its adjustment in Indian manufacturing Industries
Department of Economics, University of Kalyani, West Bengal, India.
Techno-Economics and Policy Program, College of Engineering, Seoul National University, Bldg # 38, San 56-1, Shinlim-dong, Kwanak-gu, Seoul 151-742, South Korea.ORCID iD: 0000-0002-7902-4683
2005 (English)In: Global Economic Review, ISSN 1226-508X, E-ISSN 1744-3873, Vol. 34, no 3, 261-290 p.Article in journal (Refereed) Published
Abstract [en]

This study provides an empirical investigation of the adjustment process of labour in Indian manufacturing industries, which evolved through structural transformation in the era of globalization. The analysis is based on a dynamic model applied to a panel of 22 two-digit manufacturing industries for the time period of 22 years covering 1980/1981 to 2001/2002. It is assumed that as competition increases industries adjust their employment to a desired level which is both industry and time specific. The results indicate that the manufacturing sector has shown a considerable dynamism in adjusting its workforce. The long-run labour demand responds greatest to the output, followed by capital and least by wages. It is observed that Indian manufacturing is not inefficient in labour use as modest speed of adjustment has led employment size closer to the optimal level. ©2005 Institute of East and West Studies, Yonsei University, Seoul.

Place, publisher, year, edition, pages
2005. Vol. 34, no 3, 261-290 p.
Keyword [en]
Adjustment; Employment; Globalization; India; Labour use; Manufacturing
National Category
Economics
Identifiers
URN: urn:nbn:se:hj:diva-24497DOI: 10.1080/12265080500292591Scopus ID: 2-s2.0-44649146083OAI: oai:DiVA.org:hj-24497DiVA: diva2:742833
Available from: 2014-09-02 Created: 2014-09-01 Last updated: 2016-01-14Bibliographically approved

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