J-Curve of Productivity and Growth : Indian Manufacturing Post-Liberalization

Author/Editor: Arvind Virmani ; Danish A Hashim
Publication Date: July 01, 2011
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Summary: Most estimates of Indian manufacturing productivity find a slowdown in the 1990s. This has puzzled analysts, given that 1990s reforms were deeper and wider than the 1980s reforms that raised the growth rate of the Indian economy by 2 per cent points. This paper tests the hypothesis of the J curve of Productivity and Growth following major liberalization and finds it to be broadly supported by the data: Technological obsolescence, gradual adoption of new technology and learning by doing result in negative effects on measured productivity.
Series: Working Paper No. 11/163
Subject(s): Economic growth | Economic reforms | Industrial production

Author's Keyword(s): Indian manufacturing | Economic reforms | productivity & output growth | J-curve hypothesis
Publication Date: July 01, 2011
ISBN/ISSN: 9781455298730/1018-5941 Format: Paper
Stock No: WPIEA2011163 Pages: 34
US$18.00 (Academic Rate:
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