Labor regulation and employment in India's retail stores
A new dataset of 1,948 retail stores in India shows that 27 percent of the stores find labor regulations as a problem for their business. Using these data, author analyzes the effect of labor regulations on employment at thestore level. The author foound that flexible labor regulations have a strong positive effect on job creation. The author estimates show that labor reforms are likely to increase employment by 22 percent of the current level for an average store. The author also addresses the issue of informality in India's retail sector. The author findings suggest that more flexible labor laws can encourage firms to operate in the more efficient formal retail sector. According to author estimates, labor reforms can reduce the level of informality by as much as 33 percent.
|Date of creation:||01 Jun 2008|
|Contact details of provider:|| Postal: 1818 H Street, N.W., Washington, DC 20433|
Phone: (202) 477-1234
Web page: http://www.worldbank.org/spl
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Pedro Portugal & Olivier Blanchard, 2001. "What Hides Behind an Unemployment Rate: Comparing Portuguese and U.S. Labor Markets," American Economic Review, American Economic Association, vol. 91(1), pages 187-207, March.
- Dal Bo, Ernesto & Rossi, Martin A., 2007. "Corruption and inefficiency: Theory and evidence from electric utilities," Journal of Public Economics, Elsevier, vol. 91(5-6), pages 939-962, June.
- Ahsan, Ahmad & Pages, Carmen, 2007. "Are all labor regulations equal ? Assessing the effects of job security, labor dispute, and contract labor laws in India," Policy Research Working Paper Series 4259, The World Bank.
- Fisman, Raymond & Svensson, Jakob, 2007.
"Are corruption and taxation really harmful to growth? Firm level evidence,"
Journal of Development Economics,
Elsevier, vol. 83(1), pages 63-75, May.
- Fisman, Raymond & Svensson, Jakob, 2000. "Are corruption and taxation really harmful to growth? - firm-level evidence," Policy Research Working Paper Series 2485, The World Bank.