The Impact of Temperature on Productivity and Labor Supply: Evidence from Indian Manufacturing

Published By: BREAD on eSS | Published Date: November, 10 , 2014

This paper shows that high temperatures may reduce manufactur- ing output by lowering worker productivity via heat stress. Using an annual panel of manufacturing plants in India, and daily primary micro- data from case-study rms, we nd that (i) output in labor-intensive settings decreases at high temperatures by about 3 percent per degree Celsius (ii) workplace climate control may enable adaptation and (iii) sustained heat may reduce worker attendance.

Author(s): E. Somanathan, Rohini Somanathan, Anant Sudarsan, Meenu Tewari | Posted on: Dec 01, 2014 | Views(600) | Download (530)


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