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IT Industry in Bangalore: Some Economic Implications


  • Rajeev, Meenakshi


IT industry has shown phenomenal growth in the city of Bangalore which has changed the very nature of the city. Large migration to the city also has created several environmental problems. Because of growth of this industry in selected pockets income inequality in the state is also on the rise which have many adverse social implications. But the sector has been able to generate significant employment and this role needs to be highlighted as educated unemployment can create many adverse economic and social problems as well. Further the rise of the industry has enhanced income of the state of Karnataka and export from this sector helps country to improve India’s balance of payment scenario. This paper examines the status and impact of IT industry in Bangalore and compares the city with other major locations within India.

Suggested Citation

  • Rajeev, Meenakshi, 2012. "IT Industry in Bangalore: Some Economic Implications," MPRA Paper 42338, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:42338

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    References listed on IDEAS

    1. Jagdish Bhagwati & Arvind Panagariya, 2004. "The Muddles over Outsourcing," Journal of Economic Perspectives, American Economic Association, vol. 18(4), pages 93-114, Fall.
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    More about this item


    IT Industry; Relative Comparative Advantage; Balance of Payment; other business services;

    JEL classification:

    • A10 - General Economics and Teaching - - General Economics - - - General
    • C80 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - General

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