Product Scope and Productivity: Evidence from India's Product Reservation Policy.
Protections for small enterprises are commonplace in developing countries. How do these policies affect overall industrial performance? Using exogenous variation in the timing of an Indian policy dismantling laws that "reserved" certain products for exclusive manufacture by small firms, we identify...
| Publicado en: | Southern Economic Journal Vol. 86; no. 1; pp. 339 - 363 |
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| Autores principales: | , |
| Formato: | Artículo |
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Wiley-Blackwell
Jul2019
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| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=137269017&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 137269017 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 00384038 SEJ jtl: Southern Economic Journal issn: 00384038 maglogo: N pubinfo: dt: Jul2019 vid: 86 iid: 1 pid: 480 pub: Wiley-Blackwell artinfo: ui: 137269017 10.1002/soej.12368 ppf: 339 ppct: 24 formats: fmt: – @attributes: type: T – @attributes: type: C – @attributes: type: P size: 873KB tig: atl: Product Scope and Productivity: Evidence from India's Product Reservation Policy. aug: au: Tewari, Ishani Wilde, Joshua su: India Industrial productivity Multiproduct firms Product lines Manufactured products Developing countries sug: subj: Industrial productivity India All other miscellaneous manufacturing All Other Miscellaneous Manufacturing Multiproduct firms Product lines Manufactured products Developing countries keyword: L5 O1 O25 O4 L5 O1 O25 O4 ab: Protections for small enterprises are commonplace in developing countries. How do these policies affect overall industrial performance? Using exogenous variation in the timing of an Indian policy dismantling laws that "reserved" certain products for exclusive manufacture by small firms, we identify the effect of the dereservation policy on size, productivity, product churning, and other industry dynamics. Following the change, we find that firms significantly altered their product lines, leading to the reallocation of productive factors, increasing exits, and increasing total factor productivity. These effects were driven by new entrants moving into the formerly restricted product space, and in particular by multiproduct firms. Our findings underscore the importance of intrafirm heterogeneity on the impact of size‐contingent regulations, as firms' product line dynamics can be an important dimension of productivity growth. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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