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Jobs and the Budget

All Things Policy

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Is There a Higher Employment Elasticity Than Large Firms?

Large firms can afford to invest more in automation technology, and therefore have lower employment elasticity. But don't you see that messanesma can, for the same investment, actually generate more jobs? There's no reason why a firm should be capital intensive in such a labor abundant country,. apart from the fact that we make it impossible to deal with labor in india.

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