Does the employment guarantee scheme stabilize household incomes in rural India?
AbstractOur analysis, based on the ICRISAT panel survey of villages in the semi-arid region of south India, confirms the income stabilizing effect of the Employment Guarantee Scheme in India. Variability of household income is measured by an unconditional variance of residuals of an income equation. A (variant) of Heckman's sample selection model is employed to allow for the endogeneity of EGS participation and to assess its income stabilizing role. The (instrumented) EGS participation reduces the residual variance of household income, implying consequent income stabilization.
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Bibliographic InfoArticle provided by Taylor & Francis Journals in its journal Applied Economics Letters.
Volume (Year): 16 (2009)
Issue (Month): 12 ()
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Other versions of this item:
- Pasquale Scandizzo & Raghav Gaiha & Katsushi Imai, 2007. "Does the employment guarantee scheme stabilise household incomes in rural India?," The School of Economics Discussion Paper Series, Economics, The University of Manchester 0706, Economics, The University of Manchester.
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