Foreign Direct Investment and Labour: The Case of Indian Manufacturing

Pradhan, Jaya Prakash and Abraham, Vinoj and Sahoo, Manoj Kumar (2004): Foreign Direct Investment and Labour: The Case of Indian Manufacturing. Published in: Labour & Development , Vol. 10, No. 1 (2004): pp. 58-79.

Abstract

This paper makes an attempt to evaluate the employment and wage effects of FDI in Indian manufacturing. The findings suggest that foreign firms do not have any adverse effects on the manufacturing employment in India as compared to their domestic counterparts while they significantly pay relatively higher to their workers. Therefore this study tends to imply that labour in fact had benefited from foreign investment in India.

• Item Type: MPRA Paper
• Language: English
• Keywords: FDI; Labour; Wages; Employment
• Subjects: F - International Economics > F2 - International Factor Movements and International Business > F21 - International Investment ; Long-Term Capital Movements; J - Labor and Demographic Economics > J3 - Wages, Compensation, and Labor Costs > J30 - General; J - Labor and Demographic Economics > J2 - Demand and Supply of Labor > J20 - General; J - Labor and Demographic Economics > J2 - Demand and Supply of Labor > J23 - Labor Demand

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