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1. Fiscal Transfers and Inflation: Evidence from India

Author:
Girish Bahal and Anand Shrivastava
Publication Date:
12-2019
Content Type:
Working Paper
Institution:
Centre for Sustainable Employment, Azim Premji University
Abstract:
Controlling for monetary policy, government transfers are potentially inflationary. This, however, may not be true when the economy is demandconstrained. Using a panel data of 17 Indian states over 30 years, we show that government transfers via welfare programs do not lead to inflation. For identification, we use a narrative shock series of transfer spending that is based on the introduction of new welfare programs. We then look at a specific program, NREGA, which has been shown to increase rural wages, and show that its implementation did not increase inflation.
Topic:
Economics, Government, Labor Issues, Monetary Policy, Employment, Inflation, and Demand
Political Geography:
India

2. How Comparable are India’s Labour Market Surveys?: A comparison of NSS, Labour Bureau and CMIE Estimates

Author:
Anand Shrivastava and Rosa Abraham
Publication Date:
05-2019
Content Type:
Working Paper
Institution:
Centre for Sustainable Employment, Azim Premji University
Abstract:
With the lack of official government data on unemployment and other labour market indicators, the most viable and recent source have been the regular household surveys conducted by the Centre for Monitoring the Indian Economy (CMIE). Given the differences in methods in data collection, it becomes exceedingly important to establish some comparability between the government and the CMIE datasets. This paper attempts to do that using two methods. First we fit a model of employment status on the CMIE data and see how well it predicts outcomes in the older Labour Bureau 2015-16 and NSS 2011-12 data. Then we compare state-level estimates of broad labour market indicators from CMIE 2016 and Labour Bureau 2015-16 datasets. The broad results are that despite differences in methodologies, the estimates for men are quite comparable between the surveys, while measures of women’s participation in the labour force seem particularly sensitive to the way questions are asked in surveys.
Topic:
Economics, Labor Issues, Work Culture, Labor Policies, and Participation
Political Geography:
India