Efficiency drives post-crisis growth in Indian manufacturing, boosting regional convergence.
The study looked at how manufacturing productivity in India changed after the global financial crisis. They used data from different states and found that overall productivity decreased after the crisis. Before the crisis, new technology helped productivity grow, but after the crisis, efficiency improvements became more important. The good news is that regional differences in productivity decreased after the crisis, showing that growth is becoming more equal across India. The study also found that education, health, and road infrastructure have a positive impact on productivity, while telecommunication didn't seem to make a big difference.