ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Structural Changes in Labour Productivity Growth

Where Does India Stand among Some Other Developing Asian Economies?

Based on the information culled out from the Groningen Growth and Development Centre/United Nations University World Institute for Development Economics Research Economic Transformation Database for 1990–91 to 2018–19 on real value added and employment in 12 industrial activities, structural changes in labour productivity growth among 14 developing economies (including India and China) have been examined. Except for the primary sector, both India and China have shown signs of convergence (with the US economy) in labour productivity of the other major economic activities, though at varying speeds. Moreover, the growth has occurred primarily due to intra-industries improvement—in the services sector for India and the secondary sector for China.

The author is highly indebted to the learned referee for the invaluable comments/suggestions for improvement of this paper.

Employment and growth are recognised to be two major macro-variables which infl uence a multiplicity of other economic variables. Studies like Dopke (2001) and Kapsos (2005) have exhibited a positive and strong relationship between economic growth and employment growth in a region. As an economy develops, employment is generated, whose intensity is peculiar to the time frame and the economic activity under consideration.

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Published On : 15th Mar, 2024

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