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Economic and Social Impacts of Self-Help Groups in India

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  • Deininger, Klaus W.
  • Liu, Yanyan

Abstract

We use a combination of pipeline comparison, propensity score matching, and double differences to evaluate economic and social impacts of a large community driven development program in India. While we find positive empowerment and nutritional effects for households in program areas, allowing heterogeneity of program impact yields additional insights. First, social and economic empowerment increased equally for participants and non-participants in program areas, pointing towards positive externalities. Second, nutritional benefits were more pronounced for new participants than for members of pre-existing self-help groups who joined the program. Third, evidence of higher consumption -but not income or asset formation- by new and converted participants suggests that at the point of the survey, the program's main economic impact had been through consumption smoothing and diversification of income sources.

Suggested Citation

  • Deininger, Klaus W. & Liu, Yanyan, 2008. "Economic and Social Impacts of Self-Help Groups in India," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6482, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea08:6482
    DOI: 10.22004/ag.econ.6482
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    Cited by:

    1. Renata Baborska & Emilio Hernandez & Emiliano Magrini & Cristian Morales-Opazo, 2020. "The impact of financial inclusion on rural food security experience: A perspective from low-and middle-income countries," Review of Development Finance Journal, Chartered Institute of Development Finance, vol. 10(2), pages 1-18.
    2. Deshpande, Ashwini & Khanna, Shantanu, 2021. "Can weak ties create social capital? Evidence from Self-Help Groups in rural India," World Development, Elsevier, vol. 146(C).
    3. Kumar, Neha & Raghunathan, Kalyani & Arrieta, Alejandra & Jilani, Amir & Chakrabarti, Suman & Menon, Purnima & Quisumbing, Agnes R., 2019. "Social networks, mobility, and political participation: The potential for women’s self-help groups to improve access and use of public entitlement schemes in India," World Development, Elsevier, vol. 114(C), pages 28-41.
    4. Roy, Chandan & Chatterjee, Susmita & Dutta Gupta, Sangita, 2017. "Women Empowerment Index: Construction of a Tool to Measure Rural Women Empowerment Level in India," MPRA Paper 92796, University Library of Munich, Germany.
    5. Chatterjee, Susmita & Datta Gupta, Sangita, 2016. "Re-imaging Capitalism through Social Entrepreneurship," MPRA Paper 75885, University Library of Munich, Germany.
    6. Silu Muduli & Manu Sharma, 2022. "Loan Repayment Dynamics of Self-help Groups in India," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 16(2), pages 183-202, May.
    7. Paolo Casini & Lore Vandewalle & Zaki Wahhaj, 2017. "Public Good Provision in Indian Rural Areas: The Returns to Collective Action by Microfinance Groups," The World Bank Economic Review, World Bank, vol. 31(1), pages 97-128.
    8. James Copestake, 2013. "Research on Microfinance in India: Combining Impact Assessment with a Broader Development Perspective," Oxford Development Studies, Taylor & Francis Journals, vol. 41(sup1), pages 17-34, August.
    9. van den Bold, Mara & Quisumbing, Agnes R. & Gillespie, Stuart, 2013. "Women’s empowerment and nutrition: An evidence review:," IFPRI discussion papers 1294, International Food Policy Research Institute (IFPRI).
    10. Deininger, Klaus & Liu, Yanyan, 2009. "Longer-term economic impacts of self-help groups in india," Policy Research Working Paper Series 4886, The World Bank.
    11. Mary Kay Gugerty & Pierre Biscaye & C. Leigh Anderson, 2019. "Delivering development? Evidence on self‐help groups as development intermediaries in South Asia and Africa," Development Policy Review, Overseas Development Institute, vol. 37(1), pages 129-151, January.
    12. N. Rajagopal, 2020. "Social Impact of Women SHGs: A Study of NHGs of ‘Kudumbashree’ in Kerala," Management and Labour Studies, XLRI Jamshedpur, School of Business Management & Human Resources, vol. 45(3), pages 317-336, August.
    13. Muduli, Silu & Sharma, Manu, 2022. "Loan Repayment Dynamics of Self-Help Groups in India," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 16(2), pages 183-202.
    14. De Hoop, Thomas & Van Kempen, Luuk & Linssen, Rik & Van Eerdewijk, Anouka, 2010. "Women's Autonomy and Subjective Well-Being in India: How Village Norms Shape the Impact of Self-Help Groups," MPRA Paper 25921, University Library of Munich, Germany.
    15. Kumar, Neha & Raghunathan, Kalyani & Arrieta, Alejandra & Jilani, Amir Hamza & Chakrabarti, Suman & Menon, Purnima & Quisumbing, Agnes R., 2018. "Social networks, mobility, and political participation: The potential for women’s self-help groups to improve access and use of public entitlement schemes in India," IFPRI discussion papers 1751, International Food Policy Research Institute (IFPRI).
    16. Datta, Upamanyu, 2015. "Socio-Economic Impacts of JEEViKA: A Large-Scale Self-Help Group Project in Bihar, India," World Development, Elsevier, vol. 68(C), pages 1-18.
    17. Mariana Infante-Villarroel, 2015. "Social Protection Delivery through Community-Driven Development Platforms," World Bank Publications - Reports 22327, The World Bank Group.
    18. Vecci, Joseph & Zelinsky, Tomas, 2017. "A Spatial Analysis of Foreign Aid and Civil Society," Working Papers in Economics 688, University of Gothenburg, Department of Economics.
    19. Elizabeth Finnis, 2017. "Collective Action, Envisioning the Future and Women’s Self-help Groups: A Case Study from South India," Indian Journal of Gender Studies, Centre for Women's Development Studies, vol. 24(1), pages 1-23, February.
    20. Kumar, Ashutosh & Rahman, Tauhidur, 2018. "Can a Women’s Rural Livelihood Program Improve Mental Health? Experimental Evidence from India," 2018 Annual Meeting, August 5-7, Washington, D.C. 274137, Agricultural and Applied Economics Association.

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