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    Destruction or Polarization: Estimating the Impact of Technology on Jobs in Indian Manufacturing

    Vashisht, Pankaj | March 2017
    Abstract
    Indian manufacturers have invested significantly in technology upgradations since the economy opened up to foreign trade and technology in the mid-1980s. In this paper, we examine the impact of technology on employment and skill demand within the Indian manufacturing sector. Estimating a dynamic labour demand equation, we find that that despite reducing the required labour per unit of output, technology has not reduced the aggregate employment in the Indian manufacturing sector. However, qualitative effect of technology on labour demand has been very significant. Our results show that adoption of new technology has increased the demand for high skilled workers at the cost of intermediary skills, leading to the polarization of manufacturing jobs. It suggests that technology has reduced the routine task content of manufacturing jobs in India.
    Citation
    Vashisht, Pankaj. 2017. Destruction or Polarization: Estimating the Impact of Technology on Jobs in Indian Manufacturing. © Indian Council for Research on International Economic Relations. http://hdl.handle.net/11540/7025.
    Keywords
    Industrialization
    Industrial Economics
    Industrial Development
    Industrial Policy
    Technology assessment
    Commerce and Industry
    Intra-Industry Trade
    Large Scale Industry
    Labor
    Technical Evaluation
    Results-Based Monitoring And Evaluation
    Performance Evaluation
    Capital market
    Developing countries
    Market share
    Labor
    Technology transfer
    Cumulative effects assessment
    Job analysis
    Task analysis
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    Citable URI
    http://hdl.handle.net/11540/7025
    Metadata
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    Working_Paper_334.pdf (1.268Mb)
    Author
    Vashisht, Pankaj
    Theme
    Industry
    Evaluation
     
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise