Liberalisation, FDI, and productivity spillovers--an analysis of Indian manufacturing firms |
| |
Authors: | Kathuria Vinish |
| |
Institution: | Department of Economics, University of Gothenburg |
| |
Abstract: | The objective of the intensification of reforms in India's trade,technology and industry policies in 1991 was to make Indianindustry competitive. In the light of these attempted changes,the present paper tested two hypotheses, namely (a) whetherliberalisation has improved the productivity of local firms;and (b) whether the spillovers from technology transfer haveincreased in the liberal regime. To test these, techniques frompanel data and stochastic production frontier were employedon 487 firms belonging to 24 three-digit manufacturing industriesfor the period 198990 to 199697. The results showedthat after liberalisation, the productivity of Indian industry,especially the foreign owned firms, has improved. The econometricresults suggested that only scientific non-FDIfirms have benefited from the liberalisation. For the non-scientificfirms, the impact is found to be productivity depressing. Withrespect to spillovers, only those domestic firms, which investedin R&D to decode the spilled knowledge, could benefit. |
| |
Keywords: | |
本文献已被 Oxford 等数据库收录! |
|