Short-term Migration Rural Workfare Programs and Urban Labor Markets - Evidence from India

This paper provides some of the rst evidence that rural development policies can have fundamental eects on the reallocation of labor between rural and urban areas. It studies the spillover eects of the world's largest rural workfare program, India's rural employment guarantee. We nd that the workfare program has substantial consequences: it reduces short-term (or seasonal) migration to urban areas by 9% and increases wages for manual, short-term work in urban areas by 6%. The implied elasticity of unskilled wages with respect to short-term migration is high (-0.7).


Issue Date:
Mar 03 2016
Publication Type:
Working or Discussion Paper
DOI and Other Identifiers:
Record Identifier:
https://ageconsearch.umn.edu/record/269578
Language:
English
Total Pages:
51
JEL Codes:
O15; J61; R23; H53
Series Statement:
WERP 1116




 Record created 2018-03-19, last modified 2020-10-28

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