Computer Usage and Labor Regulation in India's Retail Stores

Author: Mohammad Amin
Source: The World Bank, August 2007

A recent survey of 1,948 retail stores in India conducted by the World Bank’s Enterprise surveys shows that 19 percent of all stores use computers. In the state of Kerala, the figure is as high as 40 percent. Using this survey, the author estimates the effect of computer usage on labor employment. The analysis show that this effect depends on the stringency of the underlying labor laws. Stricter labor laws magnify the labor displacing effect of computers significantly.

Download paper
Slide summary