Mazumdar, Surajit (2010): Big Business and Economic Nationalism in India.
Download (540Kb) | Preview
Abstract: This paper emphasizes that economic nationalism in India both contributed to and coexists with the liberalization process initiated since 1991, which marked a decisive break in India’s economic policy and pushed her towards increased integration with the global economy. It is however an inherently more exclusive form of economic nationalism in which capitalist priorities press down harder on an already constrained state. India’s capitalists embraced rather than resisted the liberalization process, in contrast to their active support for a strategy of autonomous development at independence. The paper focuses on this shift in the outlook of the capitalist class represented by India’s big business and tries to identify the reasons why it initially emerged and why it has gathered strength over time. The paper argues that this transformation reflected the development and evolution of Indian capitalism resulting from industrialization under the older autonomous strategy. Embracing liberalization became both possible and necessary for India’s capitalists. The shift in the Indian state’s policy thus was a response to the imperatives of national capitalist development, and the state has continued to assist Indian capital’s growth and development in different ways. Indian capital has in fact gained increased leverage with the state and with its support has grown rapidly and stepped on to the global stage. In the process it has also changed – become less industrial, and more integrated into global production and financial systems. This growth and transformation of Indian big business in turn has reinforced its support for liberalization.
|Item Type:||MPRA Paper|
|Original Title:||Big Business and Economic Nationalism in India.|
|Keywords:||Big Business; Economic Nationalism; India|
|Subjects:||F - International Economics > F5 - International Relations and International Political Economy > F52 - National Security; Economic Nationalism
G - Financial Economics > G3 - Corporate Finance and Governance > G38 - Government Policy and Regulation
P - Economic Systems > P1 - Capitalist Systems > P16 - Political Economy
|Depositing User:||Surajit Mazumdar|
|Date Deposited:||22. Jan 2011 20:19|
|Last Modified:||15. Feb 2013 21:09|
Alam, Ghayur (1985), ‘India's Technology Policy and Its Influence on Technology Imports and Technology Development’, Economic and Political Weekly 20 (45-47): 2073-80.
Athukorala, Prema-chandra (2009) ‘Outward Foreign Direct Investment from India’, Asian Development Review, 26 (2): 125–153.
Bagchi, A.K. (1980) Private investment in India: 1900-1939, Reprint of 1975 Indian Edition. New Delhi: Orient Longman.
Basant, Rakesh (2000) 'Corporate Response to Economic Reforms', Economic and Political Weekly 35(10): 813-22.
Bhaduri, Amit (2002) 'Nationalism and Economic Policy in the Era of Globalization' in Deepak Nayyar (ed.) Governing Globalization: Issues and Institutions, New Delhi: Oxford University Press: 19-48.
Byres, Terence J. (ed.) (1994) The State and Development Planning in India. Delhi: Oxford University Press.
Byres, Terence J. (ed.) (1999) The Indian Economy, Major Debates Since Independence, New Delhi: Oxford University Press.
Chalapati Rao, K.S. and Atulan Guha (2006) 'Ownership Pattern of the Indian Corporate Sector: Implications for Corporate Governance', Working Paper No: 2006/09 New Delhi: Institute for Studies in industrial Development.
Chandrasekhar, C.P. and Jayati Ghosh (2002) The Market That Failed: Neoliberal Economic Reforms in India, Second Edition, New Delhi: Left Word Books.
Chaudhuri, Sudip (2008) ‘Ranbaxy Sell-out: Reversal of Fortunes’, Economic and Political Weekly 43(29): 11-13.
Chibber, Vivek (2004) Locked in Place: State Building and Late Industrialization in India, New Delhi: Tulika Books.
D’Costa, Anthony P. (2000) 'Capitalist maturity and corporate responses to economic liberalization in India: the steel, auto, and software sectors' Contemporary South Asia 9(2): 141–163
D’Costa, Anthony P. (2004), ‘The Indian Software Industry in the Global Division of Labor,’ in D’Costa, A.P. and Sridharan,E.(eds.) India in the Global Software Industry: Innovation, Firm Strategies and Development, Houndmills, Basingtoke: Palgrave Macmillan, 1-26.
D’Costa, Anthony P. (2005) The Long March to Capitalism: Embourgeoisment, Internationalization, and Industrial Transformation in India, Houndmills, Basingtoke: Palgrave Macmillan.
D’Costa, Anthony P. (2009) 'Economic Nationalism in Motion: Steel, Auto, and Software Industries in India', Review of International Political Economy 16 (4): 620-48.
D’Costa, A.P. (ed) (2010), A New India? Critical Reflections in the Long Twentieth Century, London: Anthem Press.
Encarnation, D. J. (1989) Dislodging Multinationals: India's Strategy in Comparative Perspective, Ithaca: Cornell University Press.
Helleiner, Eric (2002) 'Economic Nationalism as a Challenge to Economic Liberalism? Lessons from the 19th Century', International Studies Quarterly 46(3): 307-329
Jha, Ravinder (2007) ‘Options for Indian Pharmaceutical Industry in the Changing Environment’, Economic and Political Weekly 42(39): 3958-67
Kohli, Atul (2009a) 'Politics of Economic Growth in India, 1980-2005, Part I: The 1980s' in Atul Kohli, Democracy and Development in India, From Socialism to Pro-Business. New Delhi: Oxford University Press: 140-63.
Kohli, Atul (2009b). 'Politics of Economic Growth in India, 1980-2005, Part II: The 1990s and Beyond' in Atul Kohli, Democracy and Development in India, From Socialism to Pro-Business. New Delhi: Oxford University Press: 164-185.
Kumar, Nagesh (2008) ‘FDI and Economic Development: Indian Experience in a Global Comparative Perspective’ in S. R. Hashim, K. S. Chalapati Rao, K. V. K. Ranganathan and M.R. Murthy (eds.), Industrial Development and Globalisation New Delhi: Academic Foundation: 409-28.
Levi-Faur, David (1997) 'Economic nationalism: from Friedrich List to Robert Reich', Review of International Studies 23: 359–370.
Mani, Sunil (2009) ‘Is India Becoming More Innovative since 1991? Some Disquieting Features’, Economic and Political Weekly 44(46): 41-51.
Mazumdar, Surajit (2006) ‘Business Groups and Concentration in the Private Corporate Sector in India’, unpublished thesis, Jawaharlal Nehru University, New Delhi.
Mazumdar, Surajit (2008a) 'The Corporate Sector and Indian Industrialization: A Historical Perspective', in S. R. Hashim, K. S. Chalapati Rao, K. V. K. Ranganathan and M.R. Murthy (eds.), Industrial Development and Globalisation New Delhi: Academic Foundation: 193-236
Mazumdar, Surajit (2008b) 'Investment and Growth in India under Liberalization: Asymmetries and Instabilities', Economic and Political Weekly, 43 (49): 68-77.
Mazumdar, Surajit (2010) ‘Industry and Services in Growth and Structural Change in India’, Working Paper No: 2010/02 New Delhi: Institute for Studies in industrial Development.
Mishra, Sanjiv (1993) India’s Textile Sector: A Policy Analysis, New Delhi, Newbury Park, London: Sage Publications.
Nagaraj, R (2003) 'Foreign Direct investment in India in the 1990s' Economic and Political Weekly 38(17): 1701-12.
Nayar, Baldev Raj (1997) 'Globalisation, Nationalism and Economic Policy Reform' Economic and Political Weekly 32(30): PE93-104.
Nayar, Baldev Raj (2000) 'The Limits of Economic Nationalism in India: Economic Reforms under the BJP-Led Government, 1998-1999', Asian Survey 40(5): 792 -815.
Nayyar, Deepak (1998) ‘Economic Development and Political Democracy: Interaction of Economics and Politics in Independent India’, Economic and Political Weekly, 33 (49): 3121-3131.
Nayyar, Deepak (2008) ‘The Internationalization of Firms From India: Investment, Mergers and Acquisitions’, Oxford Development Studies 36(1): 111 – 31.
Patnaik, Prabhat (1992) 'A Note on the Political Economy of the 'Retreat of the State'', Social Scientist 20(11): 44-57.
Pedersen, Jorgen Dige (2007) ‘The transformation of Indian business: from passive resisters to active promoters of globalization’, Paper prepared for Sixth Pan-European Conference on International Relations, University of Turin, Italy, 12.-15. September 2007.
Pickel, Andreas (2003) ‘Explaining, and Explaining With, Economic Nationalism’, Nations and Nationalism 9 (1):105-127.
Rajeevan, Meera, Manish Subramanaian, Pramod Beligere and Rohini Williams (2007) 'Research Study of Captives in India and China: A Majority of Parent Organizations also rely on Third-Party Relationships', Infosys White Paper June 2007. Available from: http://www.infosys.com/global-sourcing/white-papers/captives-research-study.pdf [accessed 25 October 2009]
Ray, Rajat K. (1985) Industrialisation in India, Growth and Conflict in the Private Corporate Sector: 1914-47. Paperback Edition, 2nd Impression. Delhi: Oxford University Press.
Reserve Bank of India (2009), 'Flow of Funds Accounts of the Indian Economy, 2001-02 to 2007-08', RBI Bulletin October Supplement: 1-86
Sengupta, Arjun, K P Kannan , and G Raveendran (2008), ‘India’s Common People: Who Are They, How Many Are They and How Do They Live?’, Economic and Political Weekly, 43 (11): 49-63.
Shulman, S. (2000) ‘National Sources of International Economic Integration’, International Studies Quarterly 44 (3): 365-90.
Sivasubramonian, S. (2000) The National Income of India in the Twentieth Century, New Delhi: Oxford University Press
Tripathi, Dwijendra (2004) The Oxford History of Indian Business, Delhi: Oxford University Press.
Tyabji, Nasir (2000) Industrialisation and Innovation: The Indian Experience, New Delhi: Sage Publications.
Wood, Ellen Meiksins (1999) ‘Unhappy Families: Global Capitalism in a World of Nation-States’, Monthly Review 51(3): 1-12.