Heresy, Orthodoxy, and Employment in Post-Reform India

Nicholas Snowden

in Growth, Development, and Diversity

Published in print June 2012 | ISBN: 9780198077992
Published online September 2012 | e-ISBN: 9780199081608 | DOI:
Heresy, Orthodoxy, and Employment in Post-Reform India

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This chapter analyses the problems faced by India’s policymakers in promoting employment for the vast labour force—a prerequisite for the reduction of poverty. It argues that the economy has very few policy options to promote employment; it is not a major exporter of goods and services in the world economy; and the capital flows it attracts from abroad are not only uncertain but also inadequate. The one viable option for India to promote employment is reinvestment of profits in the manufacturing sector. These reinvestments could generate employment in the labour-intensive sectors through the linkages between sectors.

Keywords: India; employment; labour-intensive industries; reforms; poverty; reinvestment; labour force; manufacturing

Chapter.  6835 words.  Illustrated.

Subjects: Economic Development and Growth

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