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Aghion et al. (2003) Openness and Economic Performance Evidence Evidence gathered so far in the debate on liberalization and development is mainly at the country level and does not arrive at any clear consensus Results highly sensitive to which countries are classified as globalisers and which are not We need to look at evidence at the sub-national level 8.1 Aghion et al. (2003) The Un-equal Effects of Liberalization: Theory and Evidence from India Planned industrialization – big development experiment of the 1950s, 1960s and 1970s Mechanism for transforming poor, agricultural economies into rich, indus- trial economies From 1980s liberalization and competition replaced planning as the pre- scribed route to prosperity This paper: Examine whether labor regulations in an Indian state affected
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Unformatted text preview: industrial performance when licensing controls which had restricted en-try and expansion were dismantled – paper about the interaction between product market regulation and labor market regulation Empirical study of the interaction between industrial policy reforms (de-licensing, trade liberalization) and labor market institutions (pro-worker versus pro- employer) during the 1980s and 1990s in India India is a federal nation . .. where labor market institutions differ across states Industrial policy reformed nationwide . .. but different industries were deregulated in different years The Rise of the License Raj Development Economics, LSE Summer School 2007 154...
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