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Oil Prices And Employment In The Transport Sector: Evidence From India

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  • Kar, Saibal
  • Lahiri, Sweta

Abstract

The impact of macroeconomic shocks, viz. rise in oil price on the sub-national wages of unorganized sector workers is little discussed in the literature. This paper uses three rounds of unit level data to show that moving from formal to informal facilities in the large transport sector in India is generally penalizing for the workers, albeit, higher educational qualification of the individual helps to raise real wages. Rise in oil price may lead to contraction of the informal transport sector owing to direct pass-through effects with varied sub-national welfare impact. Additionally, labor market reforms may increase wage of informal workers in the event of oil price shocks.

Suggested Citation

  • Kar, Saibal & Lahiri, Sweta, 2021. "Oil Prices And Employment In The Transport Sector: Evidence From India," MPRA Paper 109935, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:109935
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    References listed on IDEAS

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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Oil price; informal sector; regional transport; district fixed effects; India.;
    All these keywords.

    JEL classification:

    • F6 - International Economics - - Economic Impacts of Globalization
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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