The Transformation of India: Incumbent Control, Reforms, and Newcomers

Laura  Alfaro; Anusha  Chari

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Other Article | Vox, CEPR Policy Portal | December 12, 2009

The Transformation of India: Incumbent Control, Reforms, and Newcomers

by Laura Alfaro and Anusha Chari

Abstract

What microeconomic forces drove the structural transformation of India's economy in recent decades? This column studies firm-level data and portrays a dynamic economy driven by the growth of private and foreign firms. But the Indian economy did not go through an industrial shakeout phase driven by creative destruction. The endurance of incumbent firms prevented a dramatic microeconomic transformation.

Keywords: Transformation; Microeconomics; India;

Format: Electronic

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Citation:

Alfaro, Laura, and Anusha Chari. "The Transformation of India: Incumbent Control, Reforms, and Newcomers." Vox, CEPR Policy Portal (December 12, 2009).

About the Author

Laura Alfaro

Warren Alpert Professor of Business Administration

General Management

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Teaching Note | HBS Case Collection | May 2006 (Revised November 2019)

To Float or Not to Float? In Pursuit of the Chinese Dream

Laura Alfaro, Rafael M. Di Tella and Ingrid Vogel

Keywords: China;

Citation:
Alfaro, Laura, Rafael M. Di Tella, and Ingrid Vogel. "To Float or Not to Float? In Pursuit of the Chinese Dream." Harvard Business School Teaching Note 706-060, May 2006. (Revised November 2019.) View Details

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Case | HBS Case Collection | November 2019

Floating the Exchange Rate: In Pursuit of the Chinese Dream

Laura Alfaro and Sarah Jeong

In the decades following 2005, China faced significant financial challenges. Inflation spiraled upwards and China’s economy stagnated in the wake of the Global Financial Crisis. The country’s leaders took an interventionist approach to weather the storm, controlling capital and exchange rates. These actions raised criticism from other nations, and in 2017 the U.S. initiated the U.S.-China Trade Wars, which enforced tariffs and requirements for increased transparency. As implications of the trade wars remained uncertain, many wondered whether the central bank would introduce further discreet steps to change the yuan. Would China’s currency appreciate as substantially against the U.S. dollar as predicted by economists? And when would further change occur? The stakes were high; a freer yuan float would impact groups within and outside of China very differently. Would China’s currency then be allowed to depreciate or appreciate if fundamentals required it?

Keywords: exchange rate; inflation; debt; Currency Exchange Rate; Inflation and Deflation; Borrowing and Debt; China;

Citation:
Alfaro, Laura, and Sarah Jeong. "Floating the Exchange Rate: In Pursuit of the Chinese Dream." Harvard Business School Case 320-039, November 2019. View Details

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Case | HBS Case Collection | November 2019

Chile: Unrest in the Copper Nation

Laura Alfaro and Sarah Jeong

For decades, Chile was heralded as South America’s pillar of stable economic growth. Chile was the world’s largest producer of copper and enjoyed a long period of over 30 years of world demand for its resources. In 2013, the commodity boom ended and was replaced by a slow period of economic activity. By 2019, a culmination of factors had contributed to widespread protests. Major streets in Santiago were shut down due to demonstrations by workers across 20 ports. Mining unions urged the government to lift the state of emergency and end curfews. It was unclear how these stoppages would affect copper production and prices in a country that produced a third of the world’s supply.

Keywords: copper production; protests; Economic Slowdown and Stagnation; Metals and Minerals; Production; Price; Mining Industry; Chile;

Citation:
Alfaro, Laura, and Sarah Jeong. "Chile: Unrest in the Copper Nation." Harvard Business School Case 320-051, November 2019. View Details

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The Transformation of India: Incumbent Control, Reforms, and Newcomers

Abstract

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