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Factor endowments, technology, and the location of Industry in India

Research output: Working paper

Publication date2005
Place of PublicationLancaster University
PublisherThe Department of Economics
<mark>Original language</mark>English

Publication series

NameEconomics Working Paper Series


This paper explores the relationship between factor endowments, technology, and the location of industrial production, using a panel dataset on Indian industries across states and over time. We find that factor endowments and technology play important roles in explaining the share of an industry. This finding is robust to the inclusion of controls for the policy environment and market access. The liberalisation of the economy beginning in 1985 and 1991 represent clear structural breaks in the relationship between industry share, factor endowments, and technology.