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Poverty Gaps and Gaps in Theory: A Note on “Dynamising” Small Firms

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  • Satya Prasad Padhi

    (Panjab University)

Abstract

The present note concerns the macro-development perspective underlying new experimental research programme to study poverty. In the perspective, the focus on poverty relates to poverty gaps, an understanding that makes clear poverty is something to do with employment status that remains miles away from state-of-the-art employment status that comes with work technological choices embodied in advanced growth process. This understanding also says that narrowing the gap would add to innovations and growth that adds to profit augmentation—a powerful motive that guides market economies. The present note argues that this focus on solutions to poverty-related employment relates to a policy focus on possible dynamism of small firms and innovation nexus, and if so, there are alternative Keynesian macroeconomic perspective on the processes and innovations that paces advanced growth and how small firms can relate to them.

Suggested Citation

  • Satya Prasad Padhi, 2020. "Poverty Gaps and Gaps in Theory: A Note on “Dynamising” Small Firms," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 63(3), pages 847-858, September.
    • Handle: RePEc:spr:ijlaec:v:63:y:2020:i:3:d:10.1007_s41027-020-00237-2
    DOI: 10.1007/s41027-020-00237-2
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    References listed on IDEAS

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    More about this item

    Keywords

    Innovations; Small firms; External economies; Organizational form; Economic development;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General

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