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Siddharth Sharma
Siddharth Sharma is a Lead Economist in the World Bank’s Office of the Chief Economist for South Asia. His main research areas are productivity, innovation, and labor markets. Since joining the World Bank as a Young Professional in 2010, Siddharth has worked on several World Bank research and operational projects on these issues. He is currently working on research projects related to the environment and technology adoption in South Asia. Siddharth has a PhD in Economics from Yale University.
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Implicit costs of factor allocation for Indian firms
Looking at variations in factor misallocation across states, Chaurey et al. measure trends in factor adjustment costs incurred by firms between 1999 and 2014. They find that adjustment costs for labour and land across India fell during this period, with the decline in labour adjustment costs declining significantly faster in states with fast growing manufacturing. They discuss other factors which affect adjustment costs, including firm size and governance quality of state, and the pattern between misallocation and low growth.
श्रम प्रतिबंधों में ढील का प्रभाव: राजस्थान में रोजगार से संबंधित साक्ष्य
भारत में कड़े श्रम कानून फर्मों के विकास में बाधा डाल सकते हैं और अनौपचारिक एवं अनुबंध वाले रोजगार बढ़ा सकते हैं। यह लेख, औद्योगिक विवाद अधिनियम (आईडीए) में संशोधन के बाद राजस्थान में स्थित फर्मों से संबंधित साक्ष्यों को देखते हुए दर्शाता है कि श्रम कानूनों में ढील देने से कुल रोजगार और उत्पादन पर कोई खास असर नहीं पड़ा है। इसके विपरीत, श्रम कानूनों में दी गई ढील के चलते अनुबंध वाले श्रमिकों में वृद्धि हुई है और स्थायी कार्य-बल में कमी आई है। हालांकि इस अध्ययन का अनुमान है कि संशोधन से प्रभावित फर्मों की निहित श्रम लागत में कमी आई है।
The effect of easing labour restrictions: Evidence on employment in Rajasthan
Stringent labour laws in India can hinder firms’ growth and increase the incidence of informal and contract employment. Looking at evidence from firms in Rajasthan after the amendment of the Industrial Disputes Act, this article finds that relaxing labour laws did not significantly affect total employment and output. Counterintuitively, it increased employment of contract workers and reduced the permanent workforce. The study however estimates that the implicit labour cost fell for firms impacted by the amendment.
How India’s internal borders inhibit migration
Indians, particularly men seeking education and jobs, display a puzzling reluctance to cross state borders. This article explores the reasons for this migration pattern. A major culprit is India’s system of ‘fragmented entitlements’, whereby welfare benefits are administered at the state level, and state residents get preferential treatment in higher education and government employment. These administrative rules prevent more efficient allocation of labour across the country.