IDEAS home Printed from https://ideas.repec.org/p/ags/aaea26/404634.html

Escaping Poverty? Rural Poverty Dynamics under a Bundled Agricultural Intervention in Tribal Communities

Author

Listed:
  • Li, Wei
  • Kafle, Kashi
  • Songsermsawas, Tisorn
  • Mendiratta, Vibhuti

Abstract

Chronic poverty among the most marginalized rural households is often attributed to structural poverty traps that large, one-off “big push”interventions are meant to overcome. We evaluate the Odisha PVTG Empowerment and Livelihoods Improvement Programme (OPELIP), a bundled agricultural “cargo-net” intervention targeting Particularly Vulnerable Tribal Groups in eastern India, using a three-wave household panel with a matched quasi-experimental control group. We combine difference-in-differences estimation with transition-matrix analysis to test whether the program shifted well-being dynamics across four dimensions: consumption, assets, multidimensional poverty, and income. The program raised household consumption by approximately 13-14 percent in the short run and lowered households’ probability of falling into asset poverty, but these effects are concentrated in the early post-program period and do not extend to the asset index or the multidimensional poverty index. Multidimensional poverty remains highly chronic and equally persistent across treatment and control households. The results suggest that, over this horizon, OPELIP operated more as a consumption-supporting safety net than as a cargo-net capable of moving households out of structural, multidimensional poverty traps, underscoring the value of multidimensional assessment in evaluating large-scale rural development programs.

Suggested Citation

  • Li, Wei & Kafle, Kashi & Songsermsawas, Tisorn & Mendiratta, Vibhuti, 2026. "Escaping Poverty? Rural Poverty Dynamics under a Bundled Agricultural Intervention in Tribal Communities," 2026 Annual Meeting, July 26 - 28, 2026, Kansas City, Missouri 404634, Agricultural and Applied Economics Association.
  • Handle: RePEc:ags:aaea26:404634
    DOI: 10.22004/ag.econ.404634
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/404634/files/177610_197628_115232_Poverty_Trap_Dynamics__Evidence_from_OPELIP.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.22004/ag.econ.404634?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Christopher B. Barrett & Teevrat Garg & Linden McBride, 2016. "Well-Being Dynamics and Poverty Traps," Annual Review of Resource Economics, Annual Reviews, vol. 8(1), pages 303-327, October.
    2. Britta Augsburg & Ralph De Haas & Heike Harmgart & Costas Meghir, 2015. "The Impacts of Microcredit: Evidence from Bosnia and Herzegovina," American Economic Journal: Applied Economics, American Economic Association, vol. 7(1), pages 183-203, January.
    3. Kashi Kafle & Kevin McGee & Alemayehu Ambel & Ilana Seff, . "Once Poor always Poor? Exploring Consumption- and Asset-based Poverty Dynamics in Ethiopia," Ethiopian Journal of Economics, Ethiopian Economics Association, vol. 25(2).
    4. Michael Carter & Christopher Barrett, 2006. "The economics of poverty traps and persistent poverty: An asset-based approach," Journal of Development Studies, Taylor & Francis Journals, vol. 42(2), pages 178-199.
    5. Karlan, Dean & Raswan, Amol & Udry, Christopher, 2026. "The Sisyphean Pursuit of Evidence for Poverty Traps," CEPR Discussion Papers 21434, Centre for Economic Policy Research.
    6. Alkire, Sabina & Foster, James, 2011. "Counting and multidimensional poverty measurement," Journal of Public Economics, Elsevier, vol. 95(7-8), pages 476-487, August.
    7. Dasgupta, Partha & Ray, Debraj, 1986. "Inequality as a Determinant of Malnutrition and Unemployment: Theory," Economic Journal, Royal Economic Society, vol. 96(384), pages 1011-1034, December.
    8. Clare Balboni & Oriana Bandiera & Robin Burgess & Maitreesh Ghatak & Anton Heil, 2023. "Why Do People Stay Poor?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 137(2), pages 785-844.
    9. Johannes Haushofer & Jeremy Shapiro, 2016. "The Short-term Impact of Unconditional Cash Transfers to the Poor: ExperimentalEvidence from Kenya," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 131(4), pages 1973-2042.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Linden McBride & Christopher B. Barrett & Christopher Browne & Leiqiu Hu & Yanyan Liu & David S. Matteson & Ying Sun & Jiaming Wen, 2022. "Predicting poverty and malnutrition for targeting, mapping, monitoring, and early warning," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(2), pages 879-892, June.
    2. Saeed, Muhammad Kashif & Hayat, Muhammad Azmat, 2020. "The Impact of Social Cash Transfers on Poverty in Pakistan-A Case Study of Benazir Income Support Programme," MPRA Paper 99805, University Library of Munich, Germany.
    3. Janz, Teresa & Augsburg, Britta & Gassmann, Franziska & Nimeh, Zina, 2023. "Leaving no one behind: Urban poverty traps in Sub-Saharan Africa," World Development, Elsevier, vol. 172(C).
    4. Christopher B. Barrett & Michael R. Carter & Jean-Paul Chavas, 2017. "Introduction to "The Economics of Poverty Traps"," NBER Chapters, in: The Economics of Poverty Traps, pages 1-20, National Bureau of Economic Research, Inc.
    5. Kondylis,Florence & Loeser,John Ashton, 2021. "Intervention Size and Persistence," Policy Research Working Paper Series 9769, The World Bank.
    6. Lee, Seungmin & Abay, Kibrom A. & Barrett, Christopher B. & Hoddinott, John, 2026. "Estimating multidimensional development resilience," Journal of Development Economics, Elsevier, vol. 178(C).
    7. Dylan Fitz & Shyam Gouri Suresh, 2021. "Poverty traps across levels of aggregation," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 16(4), pages 909-953, October.
    8. Barrientos, Armando, 2012. "Social Transfers and Growth: What Do We Know? What Do We Need to Find Out?," World Development, Elsevier, vol. 40(1), pages 11-20.
    9. Winters, P. & Kafle, K. & Benfica, R., 2018. "IFAD RESEARCH SERIES 21 - Does relative deprivation induce migration? Evidence from sub-Saharan Africa," IFAD Research Series 280070, International Fund for Agricultural Development (IFAD).
    10. Shackleton, C.M. & Garekae, H. & Sardeshpande, M. & Sinasson Sanni, G. & Twine, W.C., 2024. "Non-timber forest products as poverty traps: Fact or fiction?," Forest Policy and Economics, Elsevier, vol. 158(C).
    11. Arunachalam, Raj & Shenoy, Ajay, 2017. "Poverty traps, convergence, and the dynamics of household income," Journal of Development Economics, Elsevier, vol. 126(C), pages 215-230.
    12. Banerjee, Abhijit & Karlan, Dean & Osei, Robert & Trachtman, Hannah & Udry, Christopher, 2025. "Corrigendum to ‘Unpacking a multi-faceted program to build sustainable income for the very poor’ [J. Dev. Econ., 155 (2022) 102781]," Journal of Development Economics, Elsevier, vol. 172(C).
    13. Janina Isabel Steinert & Lucie Dale Cluver & G. J. Melendez-Torres & Sebastian Vollmer, 2018. "One Size Fits All? The Validity of a Composite Poverty Index Across Urban and Rural Households in South Africa," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 136(1), pages 51-72, February.
    14. Andreas Petrou-Zeniou & Azeem M. Shaikh, 2024. "Inference After Ranking with Applications to Economic Mobility," Papers 2410.19212, arXiv.org, revised Jan 2026.
    15. Blattman, Christopher & Dercon, Stefan & Franklin, Simon, 2022. "Impacts of industrial and entrepreneurial jobs on youth: 5-year experimental evidence on factory job offers and cash grants in Ethiopia," Journal of Development Economics, Elsevier, vol. 156(C).
    16. Travis J. Lybbert & Christopher B. Barrett, 2011. "Risk‐Taking Behavior In The Presence Of Nonconvex Asset Dynamics," Economic Inquiry, Western Economic Association International, vol. 49(4), pages 982-988, October.
    17. Awa Sanou & Lenis S. O. Liverpool‐Tasie & John M. Kerr, 2020. "Threshold investment and firm viability: Evidence from commercial poultry farms in Nigeria," Agribusiness, John Wiley & Sons, Ltd., vol. 36(3), pages 422-439, June.
    18. Martina Menon & Federico Perali & Eva Sierminska, 2017. "An Efficiency Comparison of Means Testing Tools: Money Metric or Counting Approach?," CHILD Working Papers Series 57 JEL Classification: D1, Centre for Household, Income, Labour and Demographic Economics (CHILD) - CCA.
    19. Jena, Pradyot Ranjan & Khosla, Sunil & Rahut, Dil Bahadur, 2024. "Can farmers with higher capabilities fend off falling into future Poverty? Empirical evidence from a tribal region in eastern India," World Development Perspectives, Elsevier, vol. 33(C).
    20. Juan Felipe Riaño & Felipe Valencia Caicedo, 2024. "Collateral Damage: The Legacy of the Secret War in Laos," The Economic Journal, Royal Economic Society, vol. 134(661), pages 2101-2140.

    More about this item

    Keywords

    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aaea26:404634. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.