Welfare Impacts of Rural Electrification : Evidence from Vietnam

Access to electricity is crucial for economic development and there is a growing body of literature on the impact of rural electrification on development. However, most studies have so far relied on cross-sectional surveys comparing households with...

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Main Authors:	Khandker, Shahidur R., Barnes, Douglas F., Samad, Hussain, Minh, Nguyen Huu
Format:	Policy Research Working Paper
Language:	English
Published:	2012
Subjects:	ACCESS TO ELECTRICITY ACCESS TO GRID ELECTRICITY ACCESS TO INFORMATION AFFORDABILITY ANTI-POVERTY APPROACH AVAILABILITY BANK OFFICE BATTERIES BENEFITS OF ELECTRIFICATION BIASES CASH EXPENDITURE CONVERSION RATE COUNTERFACTUAL COVERS DEMAND FOR ELECTRICITY DIESEL DIESEL ENGINE DYNAMICS EARNINGS ECONOMIC ACTIVITIES ECONOMIC DEVELOPMENT ECONOMIC GROWTH EDUCATIONAL ATTAINMENT EDUCATIONAL LEVELS ELECTRIC APPLIANCES ELECTRIC LIGHTING ELECTRIC POWER ELECTRIC POWER SECTOR ELECTRIC PUMPS ELECTRICITY ACCESS ELECTRICITY CONSUMPTION ELECTRICITY DEMAND ELECTRICITY DISTRIBUTION ELECTRICITY DISTRIBUTION COMPANIES ELECTRICITY GRID ELECTRICITY NEEDS ELECTRICITY SECTOR ELECTRICITY SUPPLY ELECTRICITY SYSTEMS ELECTRICITY USE ELECTRIFICATION PROJECT ELIGIBILITY CRITERIA ENDOWMENTS ENROLLMENT ENTREPRENEURIAL ABILITY EQUAL TREATMENT EQUALITY EXPENDITURE EXPENDITURES FANS FARM ACTIVITIES FARM INCOME FARM PRODUCTION FARM PRODUCTIVITY FIXED ASSETS FOOD ITEMS GENDER GENERATION GRID CONNECTION GRID ELECTRICITY GRID ELECTRIFICATION HOUSEHOLD CHORES HOUSEHOLD ELECTRICITY CONSUMPTION HOUSEHOLD FACTORS HOUSEHOLD HEAD HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD WELFARE HOUSEHOLDS INCOME DYNAMICS INCOME GAINS INDUSTRIAL ENTERPRISES INSTITUTIONAL REFORMS INTERNATIONAL BANK IRRIGATION KEROSENE MACHINERY POOR POOR HOUSEHOLDS POVERTY PROGRAMS POVERTY REDUCTION POWER POWER COMPANY POWER PLANT POWER SECTOR PRIVATE INVESTORS RUNNING WATER RURAL RURAL AREAS RURAL DEVELOPMENT RURAL ECONOMIC GROWTH RURAL ECONOMY RURAL ELECTRICITY RURAL ELECTRIFICATION RURAL ENERGY RURAL GROWTH RURAL HOUSEHOLD RURAL HOUSEHOLDS RURAL LIFE RURAL PEOPLE RURAL POOR RURAL RESIDENTS RURAL WELFARE SMALL BUSINESS SOURCE OF FUNDS STRUCTURES TECHNICAL ASSISTANCE TOOLS TRANSITIONS TRANSPORT URBAN DEVELOPMENT WAR WATER FLOW WELFARE INDICATORS WIND WIND POWER
Online Access:	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090917100619 http://hdl.handle.net/10986/4248

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spelling	okr-10986-42482021-04-23T14:02:16Z Welfare Impacts of Rural Electrification : Evidence from Vietnam Khandker, Shahidur R. Barnes, Douglas F. Samad, Hussain Minh, Nguyen Huu ACCESS TO ELECTRICITY ACCESS TO GRID ELECTRICITY ACCESS TO INFORMATION AFFORDABILITY ANTI-POVERTY APPROACH AVAILABILITY BANK OFFICE BATTERIES BENEFITS OF ELECTRIFICATION BIASES CASH EXPENDITURE CONVERSION RATE COUNTERFACTUAL COVERS DEMAND FOR ELECTRICITY DIESEL DIESEL ENGINE DYNAMICS EARNINGS ECONOMIC ACTIVITIES ECONOMIC DEVELOPMENT ECONOMIC GROWTH EDUCATIONAL ATTAINMENT EDUCATIONAL LEVELS ELECTRIC APPLIANCES ELECTRIC LIGHTING ELECTRIC POWER ELECTRIC POWER SECTOR ELECTRIC PUMPS ELECTRICITY ACCESS ELECTRICITY CONSUMPTION ELECTRICITY DEMAND ELECTRICITY DISTRIBUTION ELECTRICITY DISTRIBUTION COMPANIES ELECTRICITY GRID ELECTRICITY NEEDS ELECTRICITY SECTOR ELECTRICITY SUPPLY ELECTRICITY SYSTEMS ELECTRICITY USE ELECTRIFICATION PROJECT ELIGIBILITY CRITERIA ENDOWMENTS ENROLLMENT ENTREPRENEURIAL ABILITY EQUAL TREATMENT EQUALITY EXPENDITURE EXPENDITURES FANS FARM ACTIVITIES FARM INCOME FARM PRODUCTION FARM PRODUCTIVITY FIXED ASSETS FOOD ITEMS GENDER GENERATION GRID CONNECTION GRID ELECTRICITY GRID ELECTRIFICATION HOUSEHOLD CHORES HOUSEHOLD ELECTRICITY CONSUMPTION HOUSEHOLD FACTORS HOUSEHOLD HEAD HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD WELFARE HOUSEHOLDS INCOME DYNAMICS INCOME GAINS INDUSTRIAL ENTERPRISES INSTITUTIONAL REFORMS INTERNATIONAL BANK IRRIGATION KEROSENE MACHINERY POOR POOR HOUSEHOLDS POVERTY PROGRAMS POVERTY REDUCTION POWER POWER COMPANY POWER PLANT POWER SECTOR PRIVATE INVESTORS RUNNING WATER RURAL RURAL AREAS RURAL DEVELOPMENT RURAL ECONOMIC GROWTH RURAL ECONOMY RURAL ELECTRICITY RURAL ELECTRIFICATION RURAL ENERGY RURAL GROWTH RURAL HOUSEHOLD RURAL HOUSEHOLDS RURAL LIFE RURAL PEOPLE RURAL POOR RURAL RESIDENTS RURAL WELFARE SMALL BUSINESS SOURCE OF FUNDS STRUCTURES TECHNICAL ASSISTANCE TOOLS TRANSITIONS TRANSPORT URBAN DEVELOPMENT WAR WATER FLOW WELFARE INDICATORS WIND WIND POWER Access to electricity is crucial for economic development and there is a growing body of literature on the impact of rural electrification on development. However, most studies have so far relied on cross-sectional surveys comparing households with and without electricity, which have well known causal attribution problems. This paper is one of the first studies to examine the welfare impacts of households rural electrification based on panel surveys conducted in 2002 and 2005 for some 1,100 households in rural Vietnam,. The findings indicate that grid electrification has been both extensive (connecting all surveyed communes by 2005) and intensive (connecting almost 80 percent of the surveyed households by 2005). Vietnam is unusual in that once electricity is locally available, both rich and poor households are equally likely to get the connection. The econometric estimations suggest that grid electrification has significant positive impacts on households cash income, expenditure, and educational outcomes. The benefits, however, reach a saturation point after prolonged exposure to electricity. Finally, this study recommends investigating the long-term benefits of rural electrification - not just for households, but for the rural economy as a whole. 2012-03-19T19:12:34Z 2012-03-19T19:12:34Z 2009-09-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090917100619 http://hdl.handle.net/10986/4248 English Impact Evaluation series ; no. IE 38,Policy Research working paper ; no. WPS 5057 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper East Asia and Pacific East Asia and Pacific Southeast Asia Asia Vietnam
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	English
topic	ACCESS TO ELECTRICITY ACCESS TO GRID ELECTRICITY ACCESS TO INFORMATION AFFORDABILITY ANTI-POVERTY APPROACH AVAILABILITY BANK OFFICE BATTERIES BENEFITS OF ELECTRIFICATION BIASES CASH EXPENDITURE CONVERSION RATE COUNTERFACTUAL COVERS DEMAND FOR ELECTRICITY DIESEL DIESEL ENGINE DYNAMICS EARNINGS ECONOMIC ACTIVITIES ECONOMIC DEVELOPMENT ECONOMIC GROWTH EDUCATIONAL ATTAINMENT EDUCATIONAL LEVELS ELECTRIC APPLIANCES ELECTRIC LIGHTING ELECTRIC POWER ELECTRIC POWER SECTOR ELECTRIC PUMPS ELECTRICITY ACCESS ELECTRICITY CONSUMPTION ELECTRICITY DEMAND ELECTRICITY DISTRIBUTION ELECTRICITY DISTRIBUTION COMPANIES ELECTRICITY GRID ELECTRICITY NEEDS ELECTRICITY SECTOR ELECTRICITY SUPPLY ELECTRICITY SYSTEMS ELECTRICITY USE ELECTRIFICATION PROJECT ELIGIBILITY CRITERIA ENDOWMENTS ENROLLMENT ENTREPRENEURIAL ABILITY EQUAL TREATMENT EQUALITY EXPENDITURE EXPENDITURES FANS FARM ACTIVITIES FARM INCOME FARM PRODUCTION FARM PRODUCTIVITY FIXED ASSETS FOOD ITEMS GENDER GENERATION GRID CONNECTION GRID ELECTRICITY GRID ELECTRIFICATION HOUSEHOLD CHORES HOUSEHOLD ELECTRICITY CONSUMPTION HOUSEHOLD FACTORS HOUSEHOLD HEAD HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD WELFARE HOUSEHOLDS INCOME DYNAMICS INCOME GAINS INDUSTRIAL ENTERPRISES INSTITUTIONAL REFORMS INTERNATIONAL BANK IRRIGATION KEROSENE MACHINERY POOR POOR HOUSEHOLDS POVERTY PROGRAMS POVERTY REDUCTION POWER POWER COMPANY POWER PLANT POWER SECTOR PRIVATE INVESTORS RUNNING WATER RURAL RURAL AREAS RURAL DEVELOPMENT RURAL ECONOMIC GROWTH RURAL ECONOMY RURAL ELECTRICITY RURAL ELECTRIFICATION RURAL ENERGY RURAL GROWTH RURAL HOUSEHOLD RURAL HOUSEHOLDS RURAL LIFE RURAL PEOPLE RURAL POOR RURAL RESIDENTS RURAL WELFARE SMALL BUSINESS SOURCE OF FUNDS STRUCTURES TECHNICAL ASSISTANCE TOOLS TRANSITIONS TRANSPORT URBAN DEVELOPMENT WAR WATER FLOW WELFARE INDICATORS WIND WIND POWER
spellingShingle	ACCESS TO ELECTRICITY ACCESS TO GRID ELECTRICITY ACCESS TO INFORMATION AFFORDABILITY ANTI-POVERTY APPROACH AVAILABILITY BANK OFFICE BATTERIES BENEFITS OF ELECTRIFICATION BIASES CASH EXPENDITURE CONVERSION RATE COUNTERFACTUAL COVERS DEMAND FOR ELECTRICITY DIESEL DIESEL ENGINE DYNAMICS EARNINGS ECONOMIC ACTIVITIES ECONOMIC DEVELOPMENT ECONOMIC GROWTH EDUCATIONAL ATTAINMENT EDUCATIONAL LEVELS ELECTRIC APPLIANCES ELECTRIC LIGHTING ELECTRIC POWER ELECTRIC POWER SECTOR ELECTRIC PUMPS ELECTRICITY ACCESS ELECTRICITY CONSUMPTION ELECTRICITY DEMAND ELECTRICITY DISTRIBUTION ELECTRICITY DISTRIBUTION COMPANIES ELECTRICITY GRID ELECTRICITY NEEDS ELECTRICITY SECTOR ELECTRICITY SUPPLY ELECTRICITY SYSTEMS ELECTRICITY USE ELECTRIFICATION PROJECT ELIGIBILITY CRITERIA ENDOWMENTS ENROLLMENT ENTREPRENEURIAL ABILITY EQUAL TREATMENT EQUALITY EXPENDITURE EXPENDITURES FANS FARM ACTIVITIES FARM INCOME FARM PRODUCTION FARM PRODUCTIVITY FIXED ASSETS FOOD ITEMS GENDER GENERATION GRID CONNECTION GRID ELECTRICITY GRID ELECTRIFICATION HOUSEHOLD CHORES HOUSEHOLD ELECTRICITY CONSUMPTION HOUSEHOLD FACTORS HOUSEHOLD HEAD HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD WELFARE HOUSEHOLDS INCOME DYNAMICS INCOME GAINS INDUSTRIAL ENTERPRISES INSTITUTIONAL REFORMS INTERNATIONAL BANK IRRIGATION KEROSENE MACHINERY POOR POOR HOUSEHOLDS POVERTY PROGRAMS POVERTY REDUCTION POWER POWER COMPANY POWER PLANT POWER SECTOR PRIVATE INVESTORS RUNNING WATER RURAL RURAL AREAS RURAL DEVELOPMENT RURAL ECONOMIC GROWTH RURAL ECONOMY RURAL ELECTRICITY RURAL ELECTRIFICATION RURAL ENERGY RURAL GROWTH RURAL HOUSEHOLD RURAL HOUSEHOLDS RURAL LIFE RURAL PEOPLE RURAL POOR RURAL RESIDENTS RURAL WELFARE SMALL BUSINESS SOURCE OF FUNDS STRUCTURES TECHNICAL ASSISTANCE TOOLS TRANSITIONS TRANSPORT URBAN DEVELOPMENT WAR WATER FLOW WELFARE INDICATORS WIND WIND POWER Khandker, Shahidur R. Barnes, Douglas F. Samad, Hussain Minh, Nguyen Huu Welfare Impacts of Rural Electrification : Evidence from Vietnam
geographic_facet	East Asia and Pacific East Asia and Pacific Southeast Asia Asia Vietnam
relation	Impact Evaluation series ; no. IE 38,Policy Research working paper ; no. WPS 5057
description	Access to electricity is crucial for economic development and there is a growing body of literature on the impact of rural electrification on development. However, most studies have so far relied on cross-sectional surveys comparing households with and without electricity, which have well known causal attribution problems. This paper is one of the first studies to examine the welfare impacts of households rural electrification based on panel surveys conducted in 2002 and 2005 for some 1,100 households in rural Vietnam,. The findings indicate that grid electrification has been both extensive (connecting all surveyed communes by 2005) and intensive (connecting almost 80 percent of the surveyed households by 2005). Vietnam is unusual in that once electricity is locally available, both rich and poor households are equally likely to get the connection. The econometric estimations suggest that grid electrification has significant positive impacts on households cash income, expenditure, and educational outcomes. The benefits, however, reach a saturation point after prolonged exposure to electricity. Finally, this study recommends investigating the long-term benefits of rural electrification - not just for households, but for the rural economy as a whole.
format	Publications & Research :: Policy Research Working Paper
author	Khandker, Shahidur R. Barnes, Douglas F. Samad, Hussain Minh, Nguyen Huu
author_facet	Khandker, Shahidur R. Barnes, Douglas F. Samad, Hussain Minh, Nguyen Huu
author_sort	Khandker, Shahidur R.
title	Welfare Impacts of Rural Electrification : Evidence from Vietnam
title_short	Welfare Impacts of Rural Electrification : Evidence from Vietnam
title_full	Welfare Impacts of Rural Electrification : Evidence from Vietnam
title_fullStr	Welfare Impacts of Rural Electrification : Evidence from Vietnam
title_full_unstemmed	Welfare Impacts of Rural Electrification : Evidence from Vietnam
title_sort	welfare impacts of rural electrification : evidence from vietnam
publishDate	2012
url	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090917100619 http://hdl.handle.net/10986/4248
_version_	1764390587310538752

Welfare Impacts of Rural Electrification : Evidence from Vietnam

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