This study delves into the origins of excess capacity by examining the reactions of capital, labor, and capital … intensity. To achieve this, we have employed a novel three-layered production function model, estimating the elasticity of … manufacturing plant realities. Ultimately, we recommend that policymakers address the issue of excess capacity by stimulating the …

total manufacturing sector in India. Because one possible channel is better utilization of plant capacity, we estimate … capacity utilization rate in Indian manufacturing. Empirical estimates show that the annual average capacity utilization rate … in Indian manufacturing was lower over the post-reform years. However, after the reforms capacity utilization rate grew …