Manufacturing Productivity during Economic Reforms in India

Abstract

The present study analyzed the trends in growth rates of output (value added), capital intensity, employment, wage share, and share of emoluments as well as partial productivity indices of inputs for all India manufacturing at disaggregated two digit level industrial groups over the period from 1981-1982 to 2007-2008. A correlation test was performed to depict the relationship among the growth rates of the relevant key variables. The empirical test of efficiency revealed that there was a significant hint of an upward shift of the productivity locus both for workers and employees on account of positive intercept dummy coefficients.