The Asia-Pacific region includes a majority of the world's population and many of its most rapidly growing economies. It is also home to the world's largest number of extremely poor people, many fragile states, and unsustainable environmental practices. The region has increased its influence in...

Purpose: The purpose of this paper is to understand labor market regulations and their consequences for the allocation of resources. Design/methodology/approach: This paper constructs a theoretical model to study labor market regulations in developing countries and how it affects the allocation...

Purpose – This study aims to focus on the role of labor regulation and credit market imperfections, in addition to that of factor endowments, in determining capital intensities in Indian manufacturing. Design/methodology/approach – The paper considers an alternative approach to identifying...

We study the role of factor market imperfections in determining industry-level capital intensities. Using cross-country panel data on manufacturing industries, we find that labor market imperfections arising from labor regulation have a greater influence on capital intensity than do credit...

A widely held view among the public is that trade liberalization increases unemployment. Using state and industry-level unemployment and trade protection data from India, we find no evidence of any unemployment increasing effect of trade reforms. In fact, our state-level analysis reveals that...

We examine the effects of trade and services liberalization on wage inequality in India. We find that labor reallocations and wage shifts attributable to liberalization account for at most 29% of the increase in inequality between 1993 and 2004, and that the effects of services reforms are many...

Using industry-level data disaggregated by states, this paper finds a positive impact of trade liberalization on labor-demand elasticities in the Indian manufacturing sector. These elasticities turn out to be negatively related to protection levels that vary across industries and over time....