Arbeitspapier

Public good provision in Indian rural areas: The returns to collective action by microfinance groups'

Self-help groups (SHGs) are the most common form of microfinance in India. We provide evidence that SHGs, composed of women only, undertake collective actions for the provision of public goods. Using a theoretical model, we show that an elected official, whose aim is to maximise re-election chances, would exert higher effort in providing public goods when private citizens undertake collective action and coordinate their voluntary contributions towards the same goods. This effect occurs although government and private contributions are assumed to be perfect substitutes. Using first-hand data on SHGs in India, we test the predictions of the model and show that, in response to collective action by SHGs, local authorities tackle a larger variety of public issues, and are more likely to tackle issues of interest to SHGs.

Sprache
Englisch

Erschienen in
Series: School of Economics Discussion Papers ; No. 1503

Klassifikation
Wirtschaft
Analysis of Collective Decision-Making: General
Banks; Depository Institutions; Micro Finance Institutions; Mortgages
Publicly Provided Private Goods
Thema
Selbsthilfe
Mikrofinanzierung
Kollektives Handeln
Öffentliche Güter
Ländlicher Raum
Indien

Ereignis
Geistige Schöpfung
(wer)
Casini, Paolo
Vandewalle, Lore
Wahhaj, Zaki
Ereignis
Veröffentlichung
(wer)
University of Kent, School of Economics
(wo)
Canterbury
(wann)
2015

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Casini, Paolo
  • Vandewalle, Lore
  • Wahhaj, Zaki
  • University of Kent, School of Economics

Entstanden

  • 2015

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