Are There Lasting Impacts of Aid to Poor Areas?

The paper re-visits the site of a large, World Bank-financed, rural development program in China, 10 years after it began and four years after disbursements ended. The program emphasized community participation in multi-sectoral interventions (including farming, animal husbandry, infrastructure and...

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Main Authors: Chen, Shaohua, Mu, Ren, Ravallion, Martin
Format: Journal Article
Language:EN
Published: 2012
Subjects:
Online Access:http://hdl.handle.net/10986/5518
id okr-10986-5518
recordtype oai_dc
spelling okr-10986-55182021-04-23T14:02:22Z Are There Lasting Impacts of Aid to Poor Areas? Chen, Shaohua Mu, Ren Ravallion, Martin Measurement and Analysis of Poverty I320 Economic Development: Human Resources Human Development Income Distribution Migration O150 Economic Development: Regional, Urban, and Rural Analyses Transportation O180 Socialist Systems and Transitional Economies: Urban, Rural, and Regional Economics P250 Socialist Institutions and Their Transitions: Consumer Economics Health Education and Training: Welfare, Income, Wealth, and Poverty P360 Urban, Rural, and Regional Economics: Regional Migration Regional Labor Markets Population Neighborhood Characteristics R230 Regional Development Policy R580 The paper re-visits the site of a large, World Bank-financed, rural development program in China, 10 years after it began and four years after disbursements ended. The program emphasized community participation in multi-sectoral interventions (including farming, animal husbandry, infrastructure and social services). Data were collected on 2000 households in project and non-project areas, spanning 10 years. A double-difference estimator of the program's impact (on top of pre-existing governmental programs) reveals sizeable short-term income gains that were mostly saved. Only small and statistically insignificant gains to mean consumption emerged in the longer-term--though in rough accord with the average gain to permanent income. The use of community-based beneficiary selection greatly reduced the overall impact, given that the educated poor were under-covered. The main results are robust to corrections for various sources of selection bias, including village targeting and interference due to spillover effects generated by the response of local governments to the external aid. 2012-03-30T07:33:13Z 2012-03-30T07:33:13Z 2009 Journal Article Journal of Public Economics 00472727 http://hdl.handle.net/10986/5518 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language EN
topic Measurement and Analysis of Poverty I320
Economic Development: Human Resources
Human Development
Income Distribution
Migration O150
Economic Development: Regional, Urban, and Rural Analyses
Transportation O180
Socialist Systems and Transitional Economies: Urban, Rural, and Regional Economics P250
Socialist Institutions and Their Transitions: Consumer Economics
Health
Education and Training: Welfare, Income, Wealth, and Poverty P360
Urban, Rural, and Regional Economics: Regional Migration
Regional Labor Markets
Population
Neighborhood Characteristics R230
Regional Development Policy R580
spellingShingle Measurement and Analysis of Poverty I320
Economic Development: Human Resources
Human Development
Income Distribution
Migration O150
Economic Development: Regional, Urban, and Rural Analyses
Transportation O180
Socialist Systems and Transitional Economies: Urban, Rural, and Regional Economics P250
Socialist Institutions and Their Transitions: Consumer Economics
Health
Education and Training: Welfare, Income, Wealth, and Poverty P360
Urban, Rural, and Regional Economics: Regional Migration
Regional Labor Markets
Population
Neighborhood Characteristics R230
Regional Development Policy R580
Chen, Shaohua
Mu, Ren
Ravallion, Martin
Are There Lasting Impacts of Aid to Poor Areas?
relation http://creativecommons.org/licenses/by-nc-nd/3.0/igo
description The paper re-visits the site of a large, World Bank-financed, rural development program in China, 10 years after it began and four years after disbursements ended. The program emphasized community participation in multi-sectoral interventions (including farming, animal husbandry, infrastructure and social services). Data were collected on 2000 households in project and non-project areas, spanning 10 years. A double-difference estimator of the program's impact (on top of pre-existing governmental programs) reveals sizeable short-term income gains that were mostly saved. Only small and statistically insignificant gains to mean consumption emerged in the longer-term--though in rough accord with the average gain to permanent income. The use of community-based beneficiary selection greatly reduced the overall impact, given that the educated poor were under-covered. The main results are robust to corrections for various sources of selection bias, including village targeting and interference due to spillover effects generated by the response of local governments to the external aid.
format Journal Article
author Chen, Shaohua
Mu, Ren
Ravallion, Martin
author_facet Chen, Shaohua
Mu, Ren
Ravallion, Martin
author_sort Chen, Shaohua
title Are There Lasting Impacts of Aid to Poor Areas?
title_short Are There Lasting Impacts of Aid to Poor Areas?
title_full Are There Lasting Impacts of Aid to Poor Areas?
title_fullStr Are There Lasting Impacts of Aid to Poor Areas?
title_full_unstemmed Are There Lasting Impacts of Aid to Poor Areas?
title_sort are there lasting impacts of aid to poor areas?
publishDate 2012
url http://hdl.handle.net/10986/5518
_version_ 1764395335369621504