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Did railways affect literacy? Evidence from India

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  • Chaudhary, Latika

    (Graduate School of Defense Management, Naval Postgraduate School)

  • Fenske, James

    (Department of Economics, University of Warwick)

Abstract

We study the effect of railroads, the single largest public investment in colonial India, on human capital. Using district-level data on literacy, we find railroads had positive effects on literacy, in particular on male and English literacy. We employ two identification strategies. First, we exploit synthetic panel variation contained in cohort-specific literacy rates due to differences in the timing of railroad exposure of different cohorts within the same district and census year. We find a one standard deviation increase in railroad exposure raises literacy by 0.29 standard deviations. Second, we use distance from an early railway plan as an instrument for district railway exposure in the cross section and find results of similar magnitude. We show that railroads increased literacy by raising secondary, rather than primary, schooling. Our mediation analysis suggests that non-agricultural income and opportunities for skilled employment are important mechanisms, while agricultural income is not.

Suggested Citation

  • Chaudhary, Latika & Fenske, James, 2020. "Did railways affect literacy? Evidence from India," The Warwick Economics Research Paper Series (TWERPS) 1320, University of Warwick, Department of Economics.
    • Handle: RePEc:wrk:warwec:1320
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    Cited by:

    1. Fenske, James & Gupta, Bishnupriya & Neumann, Cora, 2022. "Missing women in Colonial India," CAGE Online Working Paper Series 613, Competitive Advantage in the Global Economy (CAGE).
    2. Latika Chaudhary & Fenske, James, 2020. "Did railways affect literacy? Evidence from India," CAGE Online Working Paper Series 529, Competitive Advantage in the Global Economy (CAGE).
    3. Fenske, James & Kala, Namrata & Wei, Jinlin, 2021. "Railways and cities in India," CAGE Online Working Paper Series 559, Competitive Advantage in the Global Economy (CAGE).
    4. Pushkar Maitra & William Yu, 2021. "The Long Shadow of Infrastructure Development: Long Run Effects of Railway Construction in Colonial India," Monash Economics Working Papers 2021-01, Monash University, Department of Economics.
    5. Fenske, James & Kala, Namrata & Wei, Jinlin, 2021. "Railways and cities in India," The Warwick Economics Research Paper Series (TWERPS) 1349, University of Warwick, Department of Economics.
    6. Mohanty, Aatishya & Saxena, Akshar, 2023. "Diarrheal disease, sanitation, and culture in India," Social Science & Medicine, Elsevier, vol. 317(C).
    7. Fenske, James & Gupta, Bishnupriya & Neumann, Cora, 2022. "Missing women in Colonial India," The Warwick Economics Research Paper Series (TWERPS) 1402, University of Warwick, Department of Economics.
    8. Fenske, James & Kala, Namrata & Wei, Jinlin, 2023. "Railways and cities in India," Journal of Development Economics, Elsevier, vol. 161(C).

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    More about this item

    Keywords

    Colonialism ; Railways ; Literacy JEL codes: N75 ; N35 ; R40;
    All these keywords.

    JEL classification:

    • N75 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services - - - Asia including Middle East
    • N35 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Asia including Middle East
    • R40 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - General

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