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The effects of electrification on employment in rural Peru

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  • Rosamaría Dasso

    ()

  • Fernando Fernandez

    ()

Abstract

We study the effects of a rural electrification program on employment in Peru. Taking advantage of the program’s roll-out across districts over time, we adopt differences-in-differences and fixed-effects strategies to estimate the impact of electrification on labor market outcomes. Our preferred specification suggests that, among males, the program increases hours of work and diminishes the likelihood of having a second occupation. Among females, the treatment raises employment and earnings and increases the probability of working outside the agricultural sector. JEL codes J22; O13 Copyright Dasso and Fernandez; licensee Springer. 2015

Suggested Citation

  • Rosamaría Dasso & Fernando Fernandez, 2015. "The effects of electrification on employment in rural Peru," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-16, December.
  • Handle: RePEc:spr:izaldv:v:4:y:2015:i:1:p:1-16:10.1186/s40175-015-0028-4
    DOI: 10.1186/s40175-015-0028-4
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    References listed on IDEAS

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    1. Rud, Juan Pablo, 2012. "Electricity provision and industrial development: Evidence from India," Journal of Development Economics, Elsevier, vol. 97(2), pages 352-367.
    2. 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.
    3. Máximo Torero & Lorena Alcazar & Eduardo Nakasone, 2007. "Provision of Public Services and Welfare of the Poor: Learning from an Incomplete Electricity Privatization Process in Rural Peru," Research Department Publications 3232, Inter-American Development Bank, Research Department.
    4. Benjamin A. Olken, 2009. "Do Television and Radio Destroy Social Capital? Evidence from Indonesian Villages," American Economic Journal: Applied Economics, American Economic Association, vol. 1(4), pages 1-33, October.
    5. Molly Lipscomb & A. Mushfiq Mobarak & Tania Barham, 2013. "Development Effects of Electrification: Evidence from the Topographic Placement of Hydropower Plants in Brazil," American Economic Journal: Applied Economics, American Economic Association, vol. 5(2), pages 200-231, April.
    6. Máximo Torero & Lorena Alcazar & Eduardo Nakasone, 2007. "Provision of Public Services and Welfare of the Poor: Learning from an Incomplete Electricity Privatization Process in Rural Peru," Research Department Publications 3232, Inter-American Development Bank, Research Department.
    7. Florencia Devoto & Esther Duflo & Pascaline Dupas & William Parienté & Vincent Pons, 2012. "Happiness on Tap: Piped Water Adoption in Urban Morocco," American Economic Journal: Economic Policy, American Economic Association, vol. 4(4), pages 68-99, November.
    8. Guido W. Imbens & Jeffrey M. Wooldridge, 2009. "Recent Developments in the Econometrics of Program Evaluation," Journal of Economic Literature, American Economic Association, vol. 47(1), pages 5-86, March.
    9. Aparajita Goyal, 2010. "Information, Direct Access to Farmers, and Rural Market Performance in Central India," American Economic Journal: Applied Economics, American Economic Association, vol. 2(3), pages 22-45, July.
    10. Grogan, Louise & Sadanand, Asha, 2013. "Rural Electrification and Employment in Poor Countries: Evidence from Nicaragua," World Development, Elsevier, vol. 43(C), pages 252-265.
    11. Martha J. Bailey & William J. Collins, 2011. "Did Improvements in Household Technology Cause the Baby Boom? Evidence from Electrification, Appliance Diffusion, and the Amish," American Economic Journal: Macroeconomics, American Economic Association, vol. 3(2), pages 189-217, April.
    12. Sheetal Sekhri, 2014. "Wells, Water, and Welfare: The Impact of Access to Groundwater on Rural Poverty and Conflict," American Economic Journal: Applied Economics, American Economic Association, vol. 6(3), pages 76-102, July.
    13. Escobal, Javier, 2005. "The Role of Public Infraestructure in Market Development in Rural Peru," MPRA Paper 727, University Library of Munich, Germany.
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    Citations

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    Cited by:

    1. Salmon, Claire & Tanguy, Jeremy, 2016. "Rural Electrification and Household Labor Supply: Evidence from Nigeria," World Development, Elsevier, vol. 82(C), pages 48-68.
    2. repec:eee:deveco:v:135:y:2018:i:c:p:304-317 is not listed on IDEAS
    3. Santosh Kumar & Ganesh Rauniyar, 2018. "The Impact of Rural Electrification on Income and Education: Evidence from Bhutan," Working Papers 1801, Sam Houston State University, Department of Economics and International Business.
    4. repec:gam:jeners:v:12:y:2019:i:5:p:778-:d:209182 is not listed on IDEAS

    More about this item

    Keywords

    Electrification; Employment; Peru;

    JEL classification:

    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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