New on the website of RUPE: Digitalisation’s Marginalising Impact on India’s Unorganised Sector

By Arun Kumar

Digitization and formalization are projected by the Government as a solution to the problems of the Indian economy. However, digitalization has further damaged the un organized sector without formalizing it. The demand has been changing the disorganized to the organized sector. Since the organized sector is more intensive of capital than the un organized sector, this demand change has resulted in a decrease in employment generation, greater inequality and shortage of demand, which has led to the slowdown in the economy. However, since the size of the un organized sector is not estimated independently, it is invisible in the data.

This article is part of Aspects of India’s economy No. 81 and 82, Digitization in India: The class agenda. Other articles of the subject will soon be launched.

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