Character of an Urban Economy-Small-Scale Production and Labour Markets in Coimbatore

Based on field research in Coimbatore in 1980, this paper discusses several theories concerning the character and role of 'small-'Scale' production in relation to the industrial economy as a whole, A distinction is made between small capitalist units of production and 'petty commodity producer units. The patterns of ownership and financing of both types of units are considered, and the character of the linkages between different forms of production is examined in some detail The extent of subcontracting between big capital industries and small units is shown to be considerable, and the interests of big industry in the splitting up of production processes in order to tighten the control of labour are demonstrated.