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Does targeted poverty alleviation policy lead to happy life? Evidence from rural China

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  • Zhou, Yunbo
  • Huang, Xingzi
  • Shen, Yangyang
  • Tian, Liu

Abstract

Based on 2013–2019 data from the China Household Finance Survey, we used the difference-in-differences method to systematically and quantitatively analyze the relationship between a targeted poverty alleviation policy and the rural poor's subjective well-being in China. The results showed that the targeted poverty alleviation policy has a spillover effect of improving rural poor households' happiness. Mechanism analysis found that the increment of both material and non-material welfare dimensions, as well as the building of positive attitudes during the process of policy implementation improve the rural poor's happiness status. Heterogeneity analysis shows that “hematopoietic” poverty alleviation policies have significant effects on the subjective well-being of all poor households, while “blood transfusion” policies have more significant effects on the subjective well-being of poverty caused by illness and old age.

Suggested Citation

  • Zhou, Yunbo & Huang, Xingzi & Shen, Yangyang & Tian, Liu, 2023. "Does targeted poverty alleviation policy lead to happy life? Evidence from rural China," China Economic Review, Elsevier, vol. 81(C).
  • Handle: RePEc:eee:chieco:v:81:y:2023:i:c:s1043951x23001220
    DOI: 10.1016/j.chieco.2023.102037
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    More about this item

    Keywords

    Targeted poverty alleviation policy; Subjective well-being; Policy evaluation; Rural China;
    All these keywords.

    JEL classification:

    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

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