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Long-term impacts of household electrification in rural India

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Author Info

  • van de Walle, Dominique
  • Ravallion, Martin
  • Mendiratta, Vibhuti
  • Koolwal, Gayatri

Abstract

India's huge expansion in rural electrification in the 1980s and 1990s offers lessons for other countries today. The paper examines the long-term effects of household electrification on consumption, labor supply, and schooling in rural India over 1982-99. It finds that household electrification brought significant gains to consumption and earnings, the latter through changes in market labor supply. It finds positive effects on schooling for girls but not for boys. External effects are also evident, whereby households without electricity benefit from village electrification. Wage rates were unaffected. Methodologically, the results suggest sizeable upward biases in past estimates of the gains from electrification associated with how past analyses dealt with geographic effects.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 6527.

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Date of creation: 01 Jun 2013
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Handle: RePEc:wbk:wbrwps:6527

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Keywords: Energy Production and Transportation; Engineering; Labor Policies; Economic Theory&Research; Electric Power;

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References

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  1. Khandker, Shahidur R. & Samad, Hussain A. & Ali, Rubaba & Barnes, Douglas F., 2012. "Who benefits most from rural electrification ? evidence in India," Policy Research Working Paper Series 6095, The World Bank.
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  8. Khandker, Shahidur R. & Barnes, Douglas F. & Samad, Hussain & Minh, Nguyen Huu, 2009. "Welfare impacts of rural electrification : evidence from Vietnam," Policy Research Working Paper Series 5057, The World Bank.
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  16. Taryn Dinkelman, 2011. "The Effects of Rural Electrification on Employment: New Evidence from South Africa," American Economic Review, American Economic Association, vol. 101(7), pages 3078-3108, December.
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Cited by:
  1. Grimm, Michael & Sparrow, Robert & Tasciotti, Luca, 2014. "Does Electrification Spur the Fertility Transition? Evidence from Indonesia," IZA Discussion Papers 8146, Institute for the Study of Labor (IZA).

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