Labour Market Regulations and Economic Outcomes: Some capital lessons and minor messages Praveen Jha, Sakti Golder and Swayamsiddha Panda

This paper provides a survey of the empirical evidence on the relationship between labour market institutions and economic outcomes. Survey of major cross-country empirical constructs that examine linkages between labour regulations and different aspects of economic performance such as employment, growth, etc., shows that the empirical basis for the advocacy of blanket labour market flexibility is rather weak. The paper also highlights some key empirical findings from the organised manufacturing sector in India and postulates some capital lessons and minor messages that emerge from such an exercise. Labour_Market (Download the full text in PDF format)

The Queen and her Guards Jayati Ghosh

From the middle of May onwards, media in Britain have been completely obsessed with the celebrations of the diamond jubilee of the reign of Queen Elizabeth. By the first week of June, when the formal festivities took place, the obsession had transmitted to the public, such that even otherwise sensible people seemed to talk of little else. While not quite commanding the same cachet as a royal wedding, this particular landmark has also been milked for all it is worth by the government as a “once in a lifetime party” to celebrate sixty years of rule, even if only titular…

ILO Leadership Election Must not be Another Charade Jayati Ghosh

Later this month, the governing body of the International Labour Organisation is due to elect a new director-general. This election has not received as much attention as the recent appointments of other institutions like the IMF and the World Bank. Even so, it could have important consequences for the world and most of its population. The candidacy of Jomo Kwame Sundaram represents an important chance for the ILO to move to centre stage in developing strategies to counter the global turbulence and move towards more stable, equitable and democratic paths. The past two decades have not been particularly kind to…

Affordable Medicine: A big step forward C.P. Chandrasekhar

India’s long struggle to ensure access to affordable medicines for its people recently took a positive and interesting turn. In early March 2012, just before he demitted office, Controller of Patents P. H. Kurien passed an order on an application filed by Hyderabad headquartered Natco Pharma requesting a license to produce a cancer drug (Sorafenib  Tosylate), the patent for which is held by German pharmaceuticals and chemicals giant Bayer. Bayer produces and markets the drug under the brand name Nexavar, which is used in the treatment of patients diagnosed as being in the advanced stages of affliction with liver or…

Multinational Retail Firms in India Jayati Ghosh

The Indian government’s sudden decision to allow hitherto prohibited foreign direct investment in multi-brand retail as well as full ownership in single-brand retail generated huge public outcry, to the extent that the government was forced to pause. One important ally of the government, fearing for her own popularity in the state of West Bengal where she is currently Chief Minister, declared that the policy is temporarily “on hold”, to be greeted with only awkward silence from the government. Finally the government was forced to announce that the policy is to be kept on hold until “consensus” is achieved, which certainly…

Employment Generation as an Economic Strategy for Uncertain Times Jayati Ghosh

It is truly a great honour for me to receive this award, and I am especially deeply honoured to be part of the broader agenda that the ILO has been pursuing, which I believe is especially critical in the current fragile global economic environment. I believe that the ILO can make an important contribution to a new direction, based on the generation of decent work as the fundamental goal, which can even become a game-changing approach to macroeconomic strategy. Any formulation of economic strategy for our times must rest on some increasingly evident current realities: periods of ''rapid growth'' have…

The Challenge of Ensuring Full Employment in the Twenty-first Century Jayati Ghosh

The recent economic growth process in India and other parts of the developing world exhibits the inability of even high rates of output growth to generate sufficient opportunities for 'decent work' to meet the needs of the growing labour force. Therefore, there is a clear case for a shift towards wage-led and domestic demand-led growth, particularly in the economies that are large enough to sustain this shift. full_employment (Download the full text in PDF format) (This article was originally published in the Indian Journal of Labour Economics, Vol. 54, No. 1, 2011.)

India’s New High Growth Trajectory: Implications for demand, technology and employment C.P. Chandrasekhar

Evidence on trends in surplus generation and utilisation suggests that India's recent transition to a high-growth trajectory has been accompanied by and partly based on tendencies towards profit inflation and increased inequality. This paper offers an explanation as to why the net implications for employment and conditions of work of this growth trajectory have been adverse. growth_trajectory (Download the full text in PDF format) (This article was originally published in the Indian Journal of Labour Economics, Vol. 54, No. 1, 2011.)

Employment shifts after the Global Crisis C.P. Chandrasekhar and Jayati Ghosh

For more than a year now, it has been evident that the ''recovery'' from the Great Recession, which has been visible if sputtering in terms of output growth in the core capitalist countries, has not delivered anything like the increases in employment that were expected. A recent report of the ILO (''Short-term employment and labour market outlook and key challenges in G20 countries'', ILO and OECD September 2011, page 1) points out: ''With economic activity slowing in several major economies and regions, earlier improvements in the labour market are now fading, hiring intentions are softening and there are greater risks…

Should ‘‘Open innovation’’ Change Innovation Policy Thinking in Catching-up Economies? Considerations for policy analyses Erkki Karo and Rainer Kattel

This paper provides a review of the current state of academic and policy-level debates on ‘‘open innovation’’ by elaborating on the relevance of the concept of open innovation for innovation policy-making in catching-up economies. The paper shows that paradoxes and contradictions exist between the ‘‘mainstream’’ innovation discourse and the development challenges of the catching-up countries that have lead to ‘‘de-contextualization’’ of the innovation policy discourse. open_innovation (Download the full text in PDF format)