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Welfare and poverty impacts of India's national rural employment guarantee scheme : evidence from Andhra Pradesh

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  • Deininger, Klaus
  • Liu, Yanyan

Abstract

This paper uses a three-round 4,000-household panel from Andhra Pradesh together with administrative data to explore short and medium-term poverty and welfare effects of the National Rural Employment Guarantee Scheme. Triple difference estimates suggest that participants significantly increase consumption (protein and energy intake) in the short run and accumulate more nonfinancial assets in the medium term. Direct benefits exceed program-related transfers and are most pronounced for scheduled castes and tribes and households supplying casual labor. Asset creation via program-induced land improvements is consistent with a medium-term increase in assets by nonparticipants and increases in wage income in excess of program cost.

Suggested Citation

  • Deininger, Klaus & Liu, Yanyan, 2013. "Welfare and poverty impacts of India's national rural employment guarantee scheme : evidence from Andhra Pradesh," Policy Research Working Paper Series 6543, The World Bank.
  • Handle: RePEc:wbk:wbrwps:6543
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    References listed on IDEAS

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    5. Jha, Raghbendra & Bhattacharyya, Sambit & Gaiha, Raghav & Shankar, Shylashri, 2009. ""Capture" of anti-poverty programs: An analysis of the National Rural Employment Guarantee Program in India," Journal of Asian Economics, Elsevier, vol. 20(4), pages 456-464, September.
    6. Jha, Raghbendra & Bhattacharyya, Sambit & Gaiha, Raghav, 2011. "Social safety nets and nutrient deprivation: An analysis of the National Rural Employment Guarantee Program and the Public Distribution System in India," Journal of Asian Economics, Elsevier, vol. 22(2), pages 189-201, April.
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    8. Klaus Deininger & Songqing Jin & Hari Nagarajan, 2013. "Wage Discrimination in I ndia's Informal Labor Markets: Exploring the Impact of Caste and Gender," Review of Development Economics, Wiley Blackwell, vol. 17(1), pages 130-147, February.
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    Citations

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    Cited by:

    1. Sheahan, Megan & Liu, Yanyan & Barrett, Christopher B. & Narayanan, Sudha, 2014. "The political economy of MGNREGS spending in Andhra Pradesh:," IFPRI discussion papers 1371, International Food Policy Research Institute (IFPRI).
    2. repec:eee:wdevel:v:96:y:2017:i:c:p:245-263 is not listed on IDEAS
    3. World Trade Organisation, 2015. "India Development Update : Towards a Higher Growth Path," Working Papers id:6821, eSocialSciences.
    4. Rinku Murgai & Martin Ravallion & Dominique van de Walle, 2016. "Is Workfare Cost-effective against Poverty in a Poor Labor-Surplus Economy?," World Bank Economic Review, World Bank Group, vol. 30(3), pages 413-445.
    5. Deepak Varshney & Deepti Goel & J.V. Meenakshi, 2017. "The Impact of MGNREGA on Agricultural Outcomes and the Rural Labour Market: A Matched DID Approach," Working Papers id:12202, eSocialSciences.
    6. Beegle, Kathleen & Galasso, Emanuela & Goldberg, Jessica, 2017. "Direct and indirect effects of Malawi's public works program on food security," Journal of Development Economics, Elsevier, vol. 128(C), pages 1-23.
    7. Bhargava, Anil K., 2015. "NREGA's Impact on Agricultural Production, Labor, and Technology Adoption: New Evidence from a Detailed Indian Household-Plot Panel," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205695, Agricultural and Applied Economics Association;Western Agricultural Economics Association.
    8. World Bank Group, 2015. "India Development Update, April 2015," World Bank Other Operational Studies 21872, The World Bank.
    9. Sheahan, Megan & Liu, Yanyan & Narayanan, Sudha & Barrett, Christopher B., 2015. "Disaggregated labor supply implications of guaranteed employment in India," 2016 Annual Meeting, July 31-August 2, 2016, Boston, Massachusetts 237345, Agricultural and Applied Economics Association.
    10. repec:eee:wdevel:v:100:y:2017:i:c:p:31-44 is not listed on IDEAS
    11. repec:eee:wdevel:v:98:y:2017:i:c:p:555-572 is not listed on IDEAS

    More about this item

    Keywords

    Housing&Human Habitats; Rural Poverty Reduction; Labor Policies; Labor Markets; Poverty Monitoring&Analysis;

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