Abstract
The states in India are investing in infrastructure, and a large share of investment is made in irrigation canal construction, building construction national highways/urban roads construction, rural roads construction and other construction. Given this, the major objective of this study is to develop a set of employment multipliers (direct, indirect, induced) for selected infrastructure sub-sectors in the two selected states of India, i.e. West Bengal and Gujarat. The methodology used was the input–output multiplier analysis. We have used the hybrid methods for developing the regional IO tables, combining a survey along with non-survey techniques, and we also used the NSSO (66th round, unit-level data) to get worker distribution by sectors and as formal and informal. Major findings show that employment multipliers in Gujarat are highest for rural roads construction (for formal, informal and total workers). The induced effects for both formal and informal employment are highest for buildings construction, reflecting that induced multiplicative effects are high for buildings in the Gujarat economy. In West Bengal, employment multipliers for irrigation canal construction (for formal, informal and total workers) are higher. But, induced effects for formal employment are highest in buildings and national highways/urban roads construction and for informal employment are highest in national highways/urban roads construction.
The views expressed in the chapter are those of the authors and are not of the institutions to which they belong. The chapter draws heavily from the authors’ report Employment Working Paper No. 168 titled “Employment dimension of infrastructure investment: State level input–output analysis”, published in 2015 by ILO Geneva; portions are reproduced here with permission.
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Notes
- 1.
The simulation results given below show the exact break-ups of the workers by type and gender.
- 2.
As per Sector Specifications for Input–Output Transactions, 2003–04, CSO, Other Construction includes: construction and maintenance of aerodromes, railways, bridges, pipelines, ports, harbours, runways communication systems, waterways, water reservoirs, hydroelectric projects, industrial plants and activities allied to construction.
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Sinha, A., Jaiswal, R., Prabhakar, A. (2018). Impact of Key Infrastructure Sectors in Creating Formal and Informal Jobs in Two States: Indian Regional IO Analysis. In: Mukhopadhyay, K. (eds) Applications of the Input-Output Framework. Springer Proceedings in Business and Economics. Springer, Singapore. https://doi.org/10.1007/978-981-13-1507-7_14
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