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Dams mitigate the effect of rainfall shocks on Hindus-Muslims riots

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  • Mary, Sebastien

Abstract

Sarsons (2015) finds that, while agricultural income in India is less sensitive to rainfall in dam-fed districts, rainfall shocks have a larger (or equally large) effect on religious riots between Muslims and Hindus in dam-fed districts than in rain-fed districts. This is inconsistent with agricultural income being the sole channel through which rainfall affects religious conflict in India. In this comment, we show that this result originates from the use of state-specific time trends and interaction models. Once we replace state-specific time trends with state-year fixed effects (in slit sample regressions) and allow state-year fixed effects to be different between rain-fed and dam-fed districts (in interaction models), we find that while (fractional) rainfall shocks affect agricultural production and religious violence in rain-fed districts, they have no effect on agricultural production and religious violence in dam-fed districts. In other words, dams fully mitigate the effect of rainfall shocks on agricultural output and religious violence in the Indian context.

Suggested Citation

  • Mary, Sebastien, 2022. "Dams mitigate the effect of rainfall shocks on Hindus-Muslims riots," World Development, Elsevier, vol. 150(C).
  • Handle: RePEc:eee:wdevel:v:150:y:2022:i:c:s0305750x21003466
    DOI: 10.1016/j.worlddev.2021.105731
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    More about this item

    Keywords

    Rainfall; Religious conflict; Dams; Time dependence; Common shocks;
    All these keywords.

    JEL classification:

    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • F35 - International Economics - - International Finance - - - Foreign Aid
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
    • Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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