{"title":"Manufacturing Activity and Inequality in India","authors":"Balu Pawde, Tara Shankar Shaw, Pushpa L. Trivedi","doi":"10.1007/s40953-024-00416-8","DOIUrl":null,"url":null,"abstract":"<p>We examine the relationship between manufacturing activity and inequality in India at the district level. Our inequality measures are defined on both consumption expenditure and earnings. The measures of manufacturing activity are based on district-level manufacturing activities. Controlling for district-level fixed effects, we show that there exists a U-shaped association between manufacturing activity and inequality, implying that inequality first decreases and then increases following the growth of manufacturing activity. In the attribution exercise, we observe that this relationship between manufacturing activity and inequality operates through the employment channel. Our results are robust to the alternative measures of manufacturing activity and inequality and to alternative estimation where we control for the spatial correlation across the districts.</p>","PeriodicalId":42219,"journal":{"name":"JOURNAL OF QUANTITATIVE ECONOMICS","volume":"53 1","pages":""},"PeriodicalIF":0.7000,"publicationDate":"2024-09-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"JOURNAL OF QUANTITATIVE ECONOMICS","FirstCategoryId":"91","ListUrlMain":"https://doi.org/10.1007/s40953-024-00416-8","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q3","JCRName":"ECONOMICS","Score":null,"Total":0}
引用次数: 0
Abstract
We examine the relationship between manufacturing activity and inequality in India at the district level. Our inequality measures are defined on both consumption expenditure and earnings. The measures of manufacturing activity are based on district-level manufacturing activities. Controlling for district-level fixed effects, we show that there exists a U-shaped association between manufacturing activity and inequality, implying that inequality first decreases and then increases following the growth of manufacturing activity. In the attribution exercise, we observe that this relationship between manufacturing activity and inequality operates through the employment channel. Our results are robust to the alternative measures of manufacturing activity and inequality and to alternative estimation where we control for the spatial correlation across the districts.
我们从地区层面研究了印度制造业活动与不平等之间的关系。我们的不平等衡量标准是根据消费支出和收入确定的。对制造业活动的衡量是基于地区层面的制造业活动。在控制了地区层面的固定效应后，我们发现制造业活动与不平等之间存在着 U 型关系，这意味着随着制造业活动的增长，不平等现象先减少后增加。在归因过程中，我们发现制造业活动与不平等之间的这种关系是通过就业渠道产生的。我们的结果对制造业活动和不平等的其他衡量标准以及对控制各地区空间相关性的其他估计都是稳健的。
期刊介绍：
The Journal of Quantitative Economics (JQEC) is a refereed journal of the Indian Econometric Society (TIES). It solicits quantitative papers with basic or applied research orientation in all sub-fields of Economics that employ rigorous theoretical, empirical and experimental methods. The Journal also encourages Short Papers and Review Articles. Innovative and fundamental papers that focus on various facets of Economics of the Emerging Market and Developing Economies are particularly welcome. With the help of an international Editorial board and carefully selected referees, it aims to minimize the time taken to complete the review process while preserving the quality of the articles published.
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