Labour regulations like employment protection legislation in India are size-dependent rules and therefore constitute a basis for threshold effects. Firms could use non-permanent workers to stay below the legal establishment size threshold of 100 workers. This strategy is expected to cause the...

This paper investigates the question of wage inequality in Indian manufacturing in the years of trade and investment liberalization. The objective is to test the hypothesis of skill biased technological change (SBTC) due to capital-skill complementarity and the impact of labour regulations on...

This paper estimates returns to education in India using a nationally representative survey. We estimate the standard Mincerian wage equation separately for rural and urban sectors. To account for the possibility of sample selection bias, Heckman two-step procedure is used. The findings indicate...