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Generosity of food security programs and expected poverty: evidence from variation across Indian states

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  • Sanjukta Das

    (SIGMA Foundation)

Abstract

The debate over whether food security legislation should follow a targeted approach or aim for universalization persists due to lack of empirical evidence on relative redistributive impacts on the poor. Utilizing a geographic regression discontinuity design, I analyze this question in the context of the world’s largest food security program, the Indian Public Distribution System. A more universal approach to food security reduces the average household’s probability of becoming poor significantly over a strictly targeted approach, by affecting their long term planning to improve living standards through more efficient resource and time allocation. The driving force behind the higher benefits under a universal system is lower errors of excluding eligible households. The impacts on malnutrition are also significantly positive for a more generous system.

Suggested Citation

  • Sanjukta Das, 2025. "Generosity of food security programs and expected poverty: evidence from variation across Indian states," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 32(5), pages 1434-1478, October.
  • Handle: RePEc:kap:itaxpf:v:32:y:2025:i:5:d:10.1007_s10797-024-09868-3
    DOI: 10.1007/s10797-024-09868-3
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    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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