1. – Qatar Central Bank, Doha, Qatar.
| Received
11-Apr-2022 |
Accepted
- |
Published
11-Apr-2022 |
Abstract
The paper assesses the impact of
state-level employment protection
laws in India on discouraged
borrowers. Using data from
the World Bank Enterprise Survey
for 2013-14, it finds that labor
laws in isolation discourage
borrowing. When the complementarities
between these laws
are considered, the discouragement
for borrowers is lower. The
analysis suggests the need to
ensure a holistic assessment of
such laws to better understand
the behavior of discourage d
borrowers.
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