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Impact of Industrialization on Relative Female Survival: Evidence from Trade Policies

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  • Chakraborty, Tanika

    ()
    (Indian Institute of Technology Kanpur)

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    Abstract

    This paper exploits an exogenous shift in the trade policy in India to study the impact of industrialization on son preference. Using a difference-in-differences strategy, we find that households are more likely to have a male child in regions with higher trade openness relative to regions with lower trade openness. Moreover, higher trade openness seems to have affected only the Hindu households; there is no analogous effect on the Muslim households. We further analyze the underlying mechanisms through which industrialization might have affected relative survival of daughters. We find a significant increase in real dowry payments in regions experiencing greater trade openness. Most interestingly, dowry inflation is experienced by the Hindu households, but not by the Muslim households. The results are robust to falsification tests using cohorts born much before the liberalization period and are not driven by systematic migration into areas with greater trade openness.

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    Bibliographic Info

    Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 6647.

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    Length: 43 pages
    Date of creation: Jun 2012
    Date of revision:
    Handle: RePEc:iza:izadps:dp6647

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    Related research

    Keywords: sex ratio; dowry; trade liberalization; difference in difference;

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    References

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    1. Rohini Pande & Nan Astone, 2007. "Explaining son preference in rural India: the independent role of structural versus individual factors," Population Research and Policy Review, Springer, vol. 26(1), pages 1-29, February.
    2. Tanika Chakraborty & Sukkoo Kim, 2010. "Kinship institutions and sex ratios in India," Demography, Springer, vol. 47(4), pages 989-1012, November.
    3. Anderson, K.S., 2001. "Why Dowry Payments Declined With Modernisation in Europe but are Rising in India," Discussion Paper 2001-7, Tilburg University, Center for Economic Research.
    4. Robin Burgess & Juzhong Zhuang, 2000. "Modernisation and son preference," LSE Research Online Documents on Economics 2115, London School of Economics and Political Science, LSE Library.
    5. Esther Duflo, 2000. "Schooling and Labor Market Consequences of School Construction in Indonesia: Evidence from an Unusual Policy Experiment," NBER Working Papers 7860, National Bureau of Economic Research, Inc.
    6. Lena Edlund, 1999. "Son Preference, Sex Rations, and Marriage Patterns," Journal of Political Economy, University of Chicago Press, vol. 107(6), pages 1275-1304, December.
    7. Elaina Rose, 1999. "Consumption Smoothing and Excess Female Mortality in Rural India," The Review of Economics and Statistics, MIT Press, vol. 81(1), pages 41-49, February.
    8. Karen Norberg, 2004. "Partnership Status and the Human Sex Ratio at Birth," NBER Working Papers 10920, National Bureau of Economic Research, Inc.
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    Cited by:
    1. Anukriti, S & Kumler, Todd J., 2014. "Tariffs, Social Status, and Gender in India," IZA Discussion Papers 7969, Institute for the Study of Labor (IZA).

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