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Declining Clientelism of Welfare Benefits? Targeting and Political Competition based Evidence from an Indian State

Author

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  • Maitra, Pushkar
  • Mitra, Sandip
  • Mookherjee, Dilip
  • Visaria, Sujata

Abstract

It has been argued that since 2014, under the BJP-led central government, welfare benefits in India have become better targeted and less prone to clientelistic control by state and local governments. And moreover that this increased vote share of the BJP vis-a-vis regional parties. We test these hypotheses using longitudinal data from 3500 rural households in the state of West Bengal. We fail to find evidence that the new ``central" programs introduced after 2014 were better targeted than traditional ``state" programs, or that the targeting of state programs improved after 2014. Households receiving the new ``central" benefits introduced since 2014 were more likely to switch their political support to the BJP. However, changes in the scale, composition or targeting of these programs, in clientelistic effectiveness of traditional state programs or in household incomes, fail to account for the large observed increase in the voters' support for the BJP. Non-Hindus, especially recent immigrant non-Hindus, were much less likely to switch support to the BJP, even after controlling for benefits received and changes in household incomes. Our results suggest that ideology and identity politics were more important factors explaining the rising popularity of the BJP.

Suggested Citation

  • Maitra, Pushkar & Mitra, Sandip & Mookherjee, Dilip & Visaria, Sujata, 2024. "Declining Clientelism of Welfare Benefits? Targeting and Political Competition based Evidence from an Indian State," CEPR Discussion Papers 18849, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:18849
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    More about this item

    Keywords

    Welfare benefits; Clientelism; Targeting; Political competition;
    All these keywords.

    JEL classification:

    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • P16 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Capitalist Institutions; Welfare State

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