NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Trade Liberalization in Manufacturing and Accelerated Growth in Services in India

Rajeev H. Dehejia, Arvind Panagariya

NBER Working Paper No. 19923
Issued in February 2014
NBER Program(s):         ITI

The impact of trade liberalization on accelerated manufacturing growth has been widely studied in the literature. What has gone unappreciated is that liberalization has also been accompanied by accelerated services growth. Using firm-level data from India, we find a positive spillover from manufacturing growth stimulated by trade and other liberalization to gross value added, wages, employment, and worker productivity in services, especially large urban firms and in service sectors whose output is used as a manufacturing input. We find that improved access to inputs via trade liberalization led to increased gross value added and worker productivity in capital-intensive service sectors.

You may purchase this paper on-line in .pdf format from SSRN.com ($5) for electronic delivery.

Information about Free Papers

You should expect a free download if you are a subscriber, a corporate associate of the NBER, a journalist, an employee of the U.S. federal government with a ".GOV" domain name, or a resident of nearly any developing country or transition economy.

If you usually get free papers at work/university but do not at home, you can either connect to your work VPN or proxy (if any) or elect to have a link to the paper emailed to your work email address below. The email address must be connected to a subscribing college, university, or other subscribing institution. Gmail and other free email addresses will not have access.

E-mail:

This paper was revised on March 5, 2014

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w19923

Users who downloaded this paper also downloaded these:
Gervais and Jensen w19759 The Tradability of Services: Geographic Concentration and Trade Costs
Li, Wang, and Whalley w19853 China's Regional and Bilateral Trade Agreements
Fieler, Eslava, and Xu w19992 Trade, Skills, and Quality Upgrading: A Theory with Evidence from Colombia
Agnosteva, Anderson, and Yotov w19872 Intra-national Trade Costs: Measurement and Aggregation
Novy and Taylor w19941 Trade and Uncertainty
 
Publications
Activities
Meetings
NBER Videos
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us