Back on the Rails: Competition and Productivity in State-owned Industry
AbstractWe use a proprietary data set on the floor-level operations at the Bhilai Rail and Structural Mill in India to understand the determinants of changes in plant productivity in 2000-2003. During this period there was a 35 percent increase in output with minimal changes in factors of production, but sizable reductions in production delays. We model interruptions to the production process and find that a large part of these reductions are attributable to training. Our results suggest that specific knowledge-enhancing investments can have very high returns, and that the threat of competition provides powerful incentives to undertake such investments.
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Bibliographic InfoPaper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 15976.
Date of creation: May 2010
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Other versions of this item:
- Sanghamitra Das & Kala Krishna & Sergey Lychagin & Rohini Somanathan, 2013. "Back on the Rails: Competition and Productivity in State-Owned Industry," American Economic Journal: Applied Economics, American Economic Association, vol. 5(1), pages 136-62, January.
- Rohini Somanathan & Kala Krishna & Sergey Lychagin & Sanghamitra Das, 2010. "Back on the Rails -- Competition and Productivity in State-owned Industry," Working papers 184, Centre for Development Economics, Delhi School of Economics.
- Rohini Somanathan & Sanghamitra Das & Kala Krishna & Sergey Lychagin, 2010. "Back on the Rails: Competition and Productivity in State-owned Industry," Working Papers id:2835, eSocialSciences.
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J48 - Labor and Demographic Economics - - Particular Labor Markets - - - Particular Labor Markets; Public Policy
- L32 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Enterprises; Public-Private Enterprises
- L61 - Industrial Organization - - Industry Studies: Manufacturing - - - Metals and Metal Products; Cement; Glass; Ceramics
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