Net transfer benefits under India's rural employment guarantee scheme
AbstractThis paper explores the important but relatively neglected issue of real income transfers, net of the opportunity cost of time, under India's National Rural Employment Guarantee Scheme. We use representative household level primary data for three states, Rajasthan, Andhra Pradesh and Maharashtra to depict various individual and social characteristics of the population in these states as well as those of the participants in the NREGS. We also model the stochastic dominance comparisons of per capita monthly expenditures of participants with and without alternative employment opportunities in the absence of NREG as well as the determinants of such opportunities. As an approximate measure of the net transfer benefits under NREGS, we consider shares of NREG earnings net of the opportunity cost of time in household income. The distribution of such net transfers across household characteristics as well as the distribution of benefits across villages in the three states is also discussed. In general, net transfers under the NREGS are quite modest. Why accurate measurement of such transfers matters in an anti-poverty strategy is elaborated.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Policy Modeling.
Volume (Year): 34 (2012)
Issue (Month): 2 ()
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Web page: http://www.elsevier.com/locate/inca/505735
NREG; Net Transfer benefit; Stochastic dominance;
Find related papers by JEL classification:
- C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
- D33 - Microeconomics - - Distribution - - - Factor Income Distribution
- D60 - Microeconomics - - Welfare Economics - - - General
- J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
- J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
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