Can Labor Regulation Hinder Economic Performance? Evidence from India

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...

Ausführliche Beschreibung

Gespeichert in:
Bibliographische Detailangaben
Veröffentlicht in:The Quarterly journal of economics 2004-02, Vol.119 (1), p.91-134
Hauptverfasser: Besley, Timothy, Burgess, Robin
Format: Artikel
Sprache:eng
Schlagworte:
Online-Zugang:Volltext
Tags: Tag hinzufügen
Keine Tags, Fügen Sie den ersten Tag hinzu!
container_end_page 134
container_issue 1
container_start_page 91
container_title The Quarterly journal of economics
container_volume 119
creator Besley, Timothy
Burgess, Robin
description 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.
doi_str_mv 10.1162/003355304772839533
format Article
fullrecord <record><control><sourceid>jstor_proqu</sourceid><recordid>TN_cdi_proquest_journals_210975468</recordid><sourceformat>XML</sourceformat><sourcesystem>PC</sourcesystem><jstor_id>25098678</jstor_id><oup_id>10.1162/003355304772839533</oup_id><sourcerecordid>25098678</sourcerecordid><originalsourceid>FETCH-LOGICAL-c542t-195ea39867576941e58a27cb4129497bd13c1e3b932ba9aa588c396ea85a00ba3</originalsourceid><addsrcrecordid>eNqNkEFLxDAQhYMouK7-AUEo3qtJJmmSk8iyuosVXVEULyFNU-lqmzVtRf-9XSrrwYunGZjvveE9hA4JPiEkoacYA3AOmAlBJSgOsIVGhAOJWcLxNhqtgbgnYBftNc0SY0wkYSM0nZg6Sk3mQ3TnXro305a-jmZlnbsQTa2vfVXa6NaFwofK1NadRdOPMnf9FhXBV9G8zkuzj3YK89a4g585Rg8X0_vJLE5vLueT8zS2nNE2Joo7A0omgotEMeK4NFTYjBGqmBJZTsASB5kCmhllDJfSgkqckdxgnBkYo-PBdxX8e-eaVi99F-r-paYEK8FZInuIDpANvmmCK_QqlJUJX5pgvW5L_22rF8WDyHer__FHA79sWh82CsrxOp789Sub1n1u7ia86kSA4Hr29KwXjySFK1joa_gGhA1_0A</addsrcrecordid><sourcetype>Aggregation Database</sourcetype><iscdi>true</iscdi><recordtype>article</recordtype><pqid>210975468</pqid></control><display><type>article</type><title>Can Labor Regulation Hinder Economic Performance? Evidence from India</title><source>Business Source Complete</source><source>JSTOR Archive Collection A-Z Listing</source><source>Oxford University Press Journals All Titles (1996-Current)</source><creator>Besley, Timothy ; Burgess, Robin</creator><creatorcontrib>Besley, Timothy ; Burgess, Robin</creatorcontrib><description>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.</description><identifier>ISSN: 0033-5533</identifier><identifier>EISSN: 1531-4650</identifier><identifier>DOI: 10.1162/003355304772839533</identifier><identifier>CODEN: QJECAT</identifier><language>eng</language><publisher>Oxford: MIT Press</publisher><subject>Econometrics ; Economic regulation ; Economic theory ; Employment ; Industrial regulation ; Labor ; Labor economics ; Labor law ; Labor markets ; Labor regulations ; Labor relations ; Manufacturing ; Manufacturing industries ; Manufacturing output ; Political parties ; Poverty ; Studies</subject><ispartof>The Quarterly journal of economics, 2004-02, Vol.119 (1), p.91-134</ispartof><rights>Copyright 2004 The President and Fellows of Harvard College and the Massachusetts Institute of Technology</rights><rights>2004 by the President and Fellows of Harvard College and the Massachusetts Institute of Technology 2004</rights><rights>Copyright MIT Press Journals Feb 2004</rights><lds50>peer_reviewed</lds50><oa>free_for_read</oa><woscitedreferencessubscribed>false</woscitedreferencessubscribed><citedby>FETCH-LOGICAL-c542t-195ea39867576941e58a27cb4129497bd13c1e3b932ba9aa588c396ea85a00ba3</citedby><cites>FETCH-LOGICAL-c542t-195ea39867576941e58a27cb4129497bd13c1e3b932ba9aa588c396ea85a00ba3</cites></display><links><openurl>$$Topenurl_article</openurl><openurlfulltext>$$Topenurlfull_article</openurlfulltext><thumbnail>$$Tsyndetics_thumb_exl</thumbnail><linktopdf>$$Uhttps://www.jstor.org/stable/pdf/25098678$$EPDF$$P50$$Gjstor$$H</linktopdf><linktohtml>$$Uhttps://www.jstor.org/stable/25098678$$EHTML$$P50$$Gjstor$$H</linktohtml><link.rule.ids>314,780,784,803,27924,27925,58017,58250</link.rule.ids></links><search><creatorcontrib>Besley, Timothy</creatorcontrib><creatorcontrib>Burgess, Robin</creatorcontrib><title>Can Labor Regulation Hinder Economic Performance? Evidence from India</title><title>The Quarterly journal of economics</title><addtitle>The Quarterly Journal of Economics</addtitle><addtitle>The Quarterly Journal of Economics</addtitle><description>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.</description><subject>Econometrics</subject><subject>Economic regulation</subject><subject>Economic theory</subject><subject>Employment</subject><subject>Industrial regulation</subject><subject>Labor</subject><subject>Labor economics</subject><subject>Labor law</subject><subject>Labor markets</subject><subject>Labor regulations</subject><subject>Labor relations</subject><subject>Manufacturing</subject><subject>Manufacturing industries</subject><subject>Manufacturing output</subject><subject>Political parties</subject><subject>Poverty</subject><subject>Studies</subject><issn>0033-5533</issn><issn>1531-4650</issn><fulltext>true</fulltext><rsrctype>article</rsrctype><creationdate>2004</creationdate><recordtype>article</recordtype><recordid>eNqNkEFLxDAQhYMouK7-AUEo3qtJJmmSk8iyuosVXVEULyFNU-lqmzVtRf-9XSrrwYunGZjvveE9hA4JPiEkoacYA3AOmAlBJSgOsIVGhAOJWcLxNhqtgbgnYBftNc0SY0wkYSM0nZg6Sk3mQ3TnXro305a-jmZlnbsQTa2vfVXa6NaFwofK1NadRdOPMnf9FhXBV9G8zkuzj3YK89a4g585Rg8X0_vJLE5vLueT8zS2nNE2Joo7A0omgotEMeK4NFTYjBGqmBJZTsASB5kCmhllDJfSgkqckdxgnBkYo-PBdxX8e-eaVi99F-r-paYEK8FZInuIDpANvmmCK_QqlJUJX5pgvW5L_22rF8WDyHer__FHA79sWh82CsrxOp789Sub1n1u7ia86kSA4Hr29KwXjySFK1joa_gGhA1_0A</recordid><startdate>20040201</startdate><enddate>20040201</enddate><creator>Besley, Timothy</creator><creator>Burgess, Robin</creator><general>MIT Press</general><general>Oxford University Press</general><scope>BSCLL</scope><scope>AAYXX</scope><scope>CITATION</scope><scope>8BJ</scope><scope>FQK</scope><scope>JBE</scope></search><sort><creationdate>20040201</creationdate><title>Can Labor Regulation Hinder Economic Performance? Evidence from India</title><author>Besley, Timothy ; Burgess, Robin</author></sort><facets><frbrtype>5</frbrtype><frbrgroupid>cdi_FETCH-LOGICAL-c542t-195ea39867576941e58a27cb4129497bd13c1e3b932ba9aa588c396ea85a00ba3</frbrgroupid><rsrctype>articles</rsrctype><prefilter>articles</prefilter><language>eng</language><creationdate>2004</creationdate><topic>Econometrics</topic><topic>Economic regulation</topic><topic>Economic theory</topic><topic>Employment</topic><topic>Industrial regulation</topic><topic>Labor</topic><topic>Labor economics</topic><topic>Labor law</topic><topic>Labor markets</topic><topic>Labor regulations</topic><topic>Labor relations</topic><topic>Manufacturing</topic><topic>Manufacturing industries</topic><topic>Manufacturing output</topic><topic>Political parties</topic><topic>Poverty</topic><topic>Studies</topic><toplevel>peer_reviewed</toplevel><toplevel>online_resources</toplevel><creatorcontrib>Besley, Timothy</creatorcontrib><creatorcontrib>Burgess, Robin</creatorcontrib><collection>Istex</collection><collection>CrossRef</collection><collection>International Bibliography of the Social Sciences (IBSS)</collection><collection>International Bibliography of the Social Sciences</collection><collection>International Bibliography of the Social Sciences</collection><jtitle>The Quarterly journal of economics</jtitle></facets><delivery><delcategory>Remote Search Resource</delcategory><fulltext>fulltext</fulltext></delivery><addata><au>Besley, Timothy</au><au>Burgess, Robin</au><format>journal</format><genre>article</genre><ristype>JOUR</ristype><atitle>Can Labor Regulation Hinder Economic Performance? Evidence from India</atitle><jtitle>The Quarterly journal of economics</jtitle><stitle>The Quarterly Journal of Economics</stitle><addtitle>The Quarterly Journal of Economics</addtitle><date>2004-02-01</date><risdate>2004</risdate><volume>119</volume><issue>1</issue><spage>91</spage><epage>134</epage><pages>91-134</pages><issn>0033-5533</issn><eissn>1531-4650</eissn><coden>QJECAT</coden><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.</abstract><cop>Oxford</cop><pub>MIT Press</pub><doi>10.1162/003355304772839533</doi><tpages>44</tpages><oa>free_for_read</oa></addata></record>
fulltext fulltext
identifier ISSN: 0033-5533
ispartof The Quarterly journal of economics, 2004-02, Vol.119 (1), p.91-134
issn 0033-5533
1531-4650
language eng
recordid cdi_proquest_journals_210975468
source Business Source Complete; JSTOR Archive Collection A-Z Listing; Oxford University Press Journals All Titles (1996-Current)
subjects Econometrics
Economic regulation
Economic theory
Employment
Industrial regulation
Labor
Labor economics
Labor law
Labor markets
Labor regulations
Labor relations
Manufacturing
Manufacturing industries
Manufacturing output
Political parties
Poverty
Studies
title Can Labor Regulation Hinder Economic Performance? Evidence from India
url https://sfx.bib-bvb.de/sfx_tum?ctx_ver=Z39.88-2004&ctx_enc=info:ofi/enc:UTF-8&ctx_tim=2025-01-04T17%3A36%3A05IST&url_ver=Z39.88-2004&url_ctx_fmt=infofi/fmt:kev:mtx:ctx&rfr_id=info:sid/primo.exlibrisgroup.com:primo3-Article-jstor_proqu&rft_val_fmt=info:ofi/fmt:kev:mtx:journal&rft.genre=article&rft.atitle=Can%20Labor%20Regulation%20Hinder%20Economic%20Performance?%20Evidence%20from%20India&rft.jtitle=The%20Quarterly%20journal%20of%20economics&rft.au=Besley,%20Timothy&rft.date=2004-02-01&rft.volume=119&rft.issue=1&rft.spage=91&rft.epage=134&rft.pages=91-134&rft.issn=0033-5533&rft.eissn=1531-4650&rft.coden=QJECAT&rft_id=info:doi/10.1162/003355304772839533&rft_dat=%3Cjstor_proqu%3E25098678%3C/jstor_proqu%3E%3Curl%3E%3C/url%3E&disable_directlink=true&sfx.directlink=off&sfx.report_link=0&rft_id=info:oai/&rft_pqid=210975468&rft_id=info:pmid/&rft_jstor_id=25098678&rft_oup_id=10.1162/003355304772839533&rfr_iscdi=true