Rural roads and local economic development
File(s)2019-06-15 proof.pdf (853.66 KB)
Accepted version
Author(s)
Asher, Sam
Novosad, Paul
Type
Journal Article
Abstract
Nearly one billion people worldwide live in rural areas without access to national paved road networks. We estimate the impacts of India's 40 billion USD national rural road construction program using a fuzzy regression discontinuity design and comprehensive household and firm census microdata. Four years after road construction, the main effect of new feeder roads is to facilitate the movement of workers out of agriculture. However, there are no major changes in agricultural outcomes, income, or assets. Employment in village firms expands only slightly. Even with better market connections, remote areas may continue to lack economic opportunities.
Date Issued
2020-03-01
Date Acceptance
2020-03-01
Citation
The American Economic Review, 2020, 110, pp.797-823
ISSN
0002-8282
Publisher
American Economic Association
Start Page
797
End Page
823
Journal / Book Title
The American Economic Review
Volume
110
Copyright Statement
Copyright © 2020 American Economic Association; reproduced with permission.
Publication Status
Published
Article Number
3