Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India

We analyse the impact of deregulatory reforms in India during the 1990s, which eliminated compulsory industrial licensing, on manufacturing firms’ investment decisions. We find an economically and statistically significant positive effect of delicensing on investment. We also show that firms in stat...

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Bibliographic Details
Main Authors:	Kandilov, Ivan T., Leblebicioglu, Asli, Manghnani, Ruchita
Format:	Journal Article
Language:	en_US
Published:	Taylor and Francis 2017
Subjects:	DEREGULATION INVESTMENT LICENSING INVESTMENT CLIMATE BUSINESS ENVIRONMENT
Online Access:	http://hdl.handle.net/10986/27237

id	okr-10986-27237
recordtype	oai_dc
spelling	okr-10986-272372021-05-25T10:54:39Z Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India Kandilov, Ivan T. Leblebicioglu, Asli Manghnani, Ruchita DEREGULATION INVESTMENT LICENSING INVESTMENT CLIMATE BUSINESS ENVIRONMENT We analyse the impact of deregulatory reforms in India during the 1990s, which eliminated compulsory industrial licensing, on manufacturing firms’ investment decisions. We find an economically and statistically significant positive effect of delicensing on investment. We also show that firms in states with better credit conditions benefitted more from the removal of licences. Moreover, our analysis demonstrates that the increase in investment was predominantly driven by smaller firms. 2017-06-15T21:42:32Z 2017-06-15T21:42:32Z 2016-11-07 Journal Article Applied Economic Letters 1350-4851 http://hdl.handle.net/10986/27237 en_US CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Taylor and Francis Publications & Research :: Journal Article Publications & Research South Asia India
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	en_US
topic	DEREGULATION INVESTMENT LICENSING INVESTMENT CLIMATE BUSINESS ENVIRONMENT
spellingShingle	DEREGULATION INVESTMENT LICENSING INVESTMENT CLIMATE BUSINESS ENVIRONMENT Kandilov, Ivan T. Leblebicioglu, Asli Manghnani, Ruchita Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India
geographic_facet	South Asia India
description	We analyse the impact of deregulatory reforms in India during the 1990s, which eliminated compulsory industrial licensing, on manufacturing firms’ investment decisions. We find an economically and statistically significant positive effect of delicensing on investment. We also show that firms in states with better credit conditions benefitted more from the removal of licences. Moreover, our analysis demonstrates that the increase in investment was predominantly driven by smaller firms.
format	Journal Article
author	Kandilov, Ivan T. Leblebicioglu, Asli Manghnani, Ruchita
author_facet	Kandilov, Ivan T. Leblebicioglu, Asli Manghnani, Ruchita
author_sort	Kandilov, Ivan T.
title	Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India
title_short	Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India
title_full	Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India
title_fullStr	Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India
title_full_unstemmed	Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India
title_sort	deregulation and firm investment : evidence from the dismantling of the license system in india
publisher	Taylor and Francis
publishDate	2017
url	http://hdl.handle.net/10986/27237
_version_	1764463965184720896

Deregulation and Firm Investment : Evidence from the Dismantling of the License System in India

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