Ejaz Ghani (for Info only, not official)

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Ejaz Ghani

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    ...A series of high-level initiatives, including Startup India, have been launched to promote private sector development. However, the role of entrepreneurship in development remains a mystery for many policy observers. While the great economic minds throughout history have recognized the link between entrepreneurship and development, controversies have remained. Do young and small or large, established firms contribute more to job growth? Why do some cities attract more entrepreneurs than others? Are agglomeration economies and networking stronger in enterprises in developing or developed countries? What makes some local governments fiscally more entrepreneurial than others? India has implemented many structural reforms since the early 1990s to promote private sector development. Trade reforms and investments in transport have increased global and local integration of enterprises. ...

    Live Mint on Oct. 29, 2017, 11:11 p.m.

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    ...China is a formidable exporter of manufactured goods. India has acquired a global reputation for exporting services, leapfrogging the manufacturing sector. Services contribute more than manufacturing to India’s output growth, productivity growth and job growth. Given the relatively large size of the service sector compared to manufacturing, India’s growth pattern resembles that of the US. This raises big questions. Can services be as dynamic as manufacturing? Can services contribute more than manufacturing to output growth, productivity growth and job growth? India’s growth pattern contradicts an iron law of development that has held true for 200 years, since the start of the Industrial Revolution. This law has argued that industrialization is the only route to rapid economic development for developing countries. The potential for explosive growth was seen only in the manufacturing sector. This is no longer the case. The new industrial revolution and digital technological changes have changed the growth drivers in developing and developed countries. ...

    Live Mint on Oct. 8, 2017, 11:37 p.m.

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    ...The room for hiring their own “types” is less when firms face intense competition. Market competition works in favour of women, as women are more competitive, and offer cheaper and more flexible labour vis-à-vis men. We examined these issues in some 600 districts using millions of enterprise data in manufacturing and services. Evidence suggests that India’s economic liberalization has not reduced gender discrimination. It may have worsened in many respects (Ejaz Ghani, Arti Grover, Sari Kerr, and William Robert Kerr, Will Market Competition Trump Gender Discrimination In India?, Policy Research Working Paper Series 7814, World Bank). Where do women work? The share of females in manufacturing employment has barely increased over the last two decades. Female activity is largely concentrated in the unorganized sector. ...

    Live Mint on Sept. 17, 2017, 11:28 p.m.

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    ...Despite the increasing importance of infrastructure, the literature on the economic impact of infrastructure on growth is still small relative to its policy importance. Tight fiscal space and broader issues of governance, doing business, climate change and competition policy have made it more challenging for infrastructure investments to get the increased attention they deserve from policymakers. India is a good testing ground to examine how the twists and turns in infrastructure investments have affected growth. In 1999, then prime minister Atal Bihari Vajpayee laid the foundation stone for the Golden Quadrilateral Highway project. The Golden Quadrilateral is the longest road project in India and the fifth-longest highway in the world, connecting four major cities: Delhi, Mumbai, Chennai and Kolkata. ...

    Live Mint on Aug. 31, 2017, 4:53 a.m.

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    ...Mint While electricity was the last general purpose technology to significantly affect manufacturing, recent information and communication technology innovations have upturned services. Much of the literature on technology and spatial development takes its clues from the US experience. But we still have a lot to learn in the context of India’s services revolution. We examined how India’s spatial development has evolved in some 600 districts in India using detailed enterprise data (Ghani, Ejaz & Grover, Arti & Kerr, William Robert, 2016. “Spatial Development And Agglomeration Economies In Services—Lessons From India”). Services account for many more of the larger establishments in India compared to manufacturing. Services are also much more urbanized than manufacturing. While large manufacturing firms are moving away from the urban core to the rural periphery, the same trend is not evident for organized services. Bigger states like Maharashtra and Tamil Nadu appear to have a higher share of large plants. ...

    Live Mint on Aug. 10, 2017, 2:05 a.m.

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    ...Economic shocks that worsen infrastructure, physical and human, affect women more than men by reducing their access to markets and basic services. Girls are often withdrawn from schools to help with household work and informal enterprises during times of economic crisis, reinforcing gender gaps in education. Gender as a new growth driver has begun to attract the attention of policymakers in recent years. Economic growth and development depend upon successfully utilizing the workforce, both male and female. Recent estimates suggest that increasing the female participation rate to that of men could potentially raise economic growth by as much as 5%. While achieving economic growth sometimes requires tough structural reforms and choices (e.g., progressive taxation that may discourage effort), the opposite is true for gender as a driver of growth. ...

    Live Mint on July 28, 2017, 1:30 a.m.

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    ...However, our understanding of the drivers of SMEs is still at an early stage. Are the SMEs concentrated in tradable or non-tradable sectors in India? How do SMEs connect into global and local supply chains and input-output networks? What role has sub-contracting played in the growth of SMEs? Is urbanization helping or hurting them? Is it push or pull entrepreneurship that is driving SMEs? Are SMEs gender-inclusive? We examine these issues using data on SMEs from 900 districts in India (Ghani, Kerr, Segura; Informal Tradables And The Employment Growth of Indian Manufacturing, The World Bank). Two facts about employment growth India’s employment growth in the manufacturing sector displays two under-appreciated facts. First, much of the employment growth has come in the form of small establishments in the tradable sector. ...

    Live Mint on July 13, 2017, 12:16 a.m.

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    ...Electricity usage is an important indicator of energy efficiency, and, all else being equal, using less electricity to achieve a given level of output is more efficient. To the extent that electricity production standards and pollution emissions are homogeneous, performance on energy efficiency (positive and negative) can be mostly translated into green growth. Green growth We examined how green growth and energy efficiency has evolved in some 900 districts in India over the last few decades using enterprise data from the manufacturing sector (Ghani, Goswami, and Kerr, “Spatial Dynamics of Electricity Usage in India”, World Bank Policy Research Working Paper No.7055). India has indeed increased green growth. Energy efficiency has improved. India’s energy intensity of gross domestic product (GDP) has declined from 1.09kg unit of oil equivalent (koe) in the 1980s to 0.66 in recent times. China’s energy intensity is roughly 1.5 times that of India. However, India’s structural transformation and economic growth is also taking many intriguing twists and turns. ...

    Live Mint on June 22, 2017, 4:34 a.m.