Does violent conflict affect the distribution of social welfare? Evidence from India's Mahatma Gandhi National Rural Employment Guarantee Act

Author:

Koyuncu Murat1ORCID,Yörük Erdem23ORCID,Gürel Burak2ORCID

Affiliation:

1. Department of Economics Boğaziçi University Istanbul Turkey

2. Department of Sociology Koç University Istanbul Turkey

3. Department of Social Policy and Intervention University of Oxford Oxford UK

Abstract

AbstractWhat are the contentious political dynamics of the largest workfare program in the world, the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) of India? Combining quantitative analysis with a close reading of government documents and a survey of the existing literature, we suggest that the Indian government's counter‐insurgency strategy against the Maoist unrest is a significant dynamic shaping the distribution of MGNREGA benefits. In our empirical analysis, we examine the effect of Maoist incidents on household income due to MGNREGA by merging a nationally representative household survey (Indian Human Development Survey‐II) and a Maoist incidents dataset. Controlling for relevant household and district characteristics, we show that higher intensity of violent conflicts is associated with higher MGNREGA benefits. This result is robust to using a variety of alternative specifications and estimation methodologies.

Funder

H2020 European Research Council

Publisher

Wiley

Subject

Public Administration,Sociology and Political Science,Development

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