IT- Driven Offshoring: The Exaggerated "Development Opportunity"

Jan 27th 2006, C.P. Chandrasekhar & Jayati Ghosh.

This paper considers the recent boom in IT-driven offshoring in India and examines the potential for this to become a major source of economic growth in the future. It is argued that the optimism about the benefits that the new trend can bring to India and other similarly placed countries may be misplaced given the relatively small share of this sector in total output and employment, as well as the difficulties of sustaining growth in the area.

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