Inefficiency in Indian Steel Industry Hinders Productivity Growth, Urgent Policy Changes Needed
The article examines productivity growth in the Indian steel industry from 1989 to 1996 using a method called data envelopment analysis (DEA). The study shows that productivity growth decreased during this period due to increasing inefficiency in the industry. The analysis reveals that this decline is mainly caused by inefficiency rather than technical or scale factors. The paper suggests that significant policy changes are needed to reduce inefficiency and boost productivity growth in the future.