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State Business Relations and Performance of Manufacturing Sector in Andhra Pradesh

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  • G. Alivelu

    (Centre for Economic and Social Studies)

  • K. Srinivasulu
  • M. Gopinath Reddy

Abstract

In this paper, we make an attempt to enquire into the politics of the government and business relation and how it affected the industrial development in general and expansion of manufacturing sector in particular in the state of Andhra Pradesh. In AP State Business Relations (SBR) have evolved gradually under different political regimes - from 'indifferent' SBR's during initial decades, passing through critical junctures in the form of 'active' and 'pro-active' phases and finally SBRs reaching its zenith during Chandrababu Naidu regime and there after continuing in the Congress regime. The SBRs in AP seen evolving through different political regimes and their impact on the performance of manufacturing sector is captured through both qualitative and quantitative sources. Examination of the secondary data reveals the dominance of registered manufacturing in the total manufacturing output of the state. Firm level perceptions reveal that the business associations play a major role in dissemination of information rather than lobbying the government. The small firms are at a disadvantage compared to large and medium firms.

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Bibliographic Info

Paper provided by East Asian Bureau of Economic Research in its series Governance Working Papers with number 22773.

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Date of creation: Jan 2010
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Handle: RePEc:eab:govern:22773

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Keywords: State-business relations; political regimes; institutions; Manufacturing Sector;

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  1. Dani Rodrik & Arvind Subramanian, 2004. "From "Hindu Growth" to Productivity Surge: The Mystery of the Indian Growth Transition," NBER Working Papers 10376, National Bureau of Economic Research, Inc.
  2. P. J. Thair, 1957. "Discussion," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 5(2), pages 46-49, 07.
  3. Henri L. F. de Groot & Gert-Jan Linders & Piet Rietveld & Uma Subramanian, 2004. "The Institutional Determinants of Bilateral Trade Patterns," Kyklos, Wiley Blackwell, vol. 57(1), pages 103-123, 02.
  4. P. J. Thair, 1957. "Discussion," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 5(1), pages 40-42, 03.
  5. Kunal Sen & Dirk Te Velde, 2009. "State Business Relations and Economic Growth in Sub-Saharan Africa," Journal of Development Studies, Taylor & Francis Journals, vol. 45(8), pages 1267-1283.
  6. A. W. Wood, 1957. "Discussion," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 5(2), pages 62-64, 07.
  7. T. O. Riecken, 1957. "Discussion," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 5(1), pages 32-34, 03.
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