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The Effects of Electrification on Employment in Rural Peru

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  • Rosamaría Dasso

    (IFPRI)

  • Fernando Fernandez

    (IADB)

Abstract

We examine the effects of a rural electrification program on employment in Peru. Exploiting the roll-out of the program across districts over time, we adopt differences-in-differences and fixedeffects strategies to estimate the impact of the program on labor market outcomes. The results from our preferred specification suggest that, among males, providing electrification increases hours of work and diminishes the likelihood of having a second occupation. Among females, the treatment rises earnings and these gains seem to be driven by a shift towards non-agricultural jobs. Then, we construct a measure of treatment intensity and show that each additional electrification project increases the magnitude of the estimated impacts (in absolute terms).

Suggested Citation

  • Rosamaría Dasso & Fernando Fernandez, 2013. "The Effects of Electrification on Employment in Rural Peru," CEDLAS, Working Papers 0150, CEDLAS, Universidad Nacional de La Plata.
    • Handle: RePEc:dls:wpaper:0150
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    References listed on IDEAS

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    Cited by:

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    2. Pradhan Shrestha, Rosy & Jirakiattikul, Sopin & Lohani, Sunil Prasad & Shrestha, Mandip, 2023. "Perceived impact of electricity on productive end use and its reality: Transition from electricity to income for rural Nepalese women," Energy Policy, Elsevier, vol. 183(C).
    3. Amodio, Francesco & Medina, Pamela & Morlacco, Monica, 2022. "Labor Market Power, Self-Employment, and Development," IZA Discussion Papers 15477, Institute of Labor Economics (IZA).
    4. Alice Tianbo Zhang & Sasmita Patnaik & Shaily Jha & Shalu Agrawal & Carlos F. Gould & Johannes Urpelainen, 2022. "Evidence of multidimensional gender inequality in energy services from a large-scale household survey in India," Nature Energy, Nature, vol. 7(8), pages 698-707, August.
    5. Obsa Urgessa Ayana & Jima Degaga, 2022. "Effects of rural electrification on household welfare: a meta-regression analysis," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 69(2), pages 209-261, June.
    6. Cummins, Mark & Gillanders, Robert, 2020. "Greasing the Turbines? Corruption and access to electricity in Africa," Energy Policy, Elsevier, vol. 137(C).
    7. Nomusa Yolanda Nkomo & Mduduzi Biyase & Beatrice D. Simo-Kengne, 2023. "The Effects of Inequality on the Substitution of Essential Goods for Tobacco Smoking in South Africa," Economies, MDPI, vol. 11(6), pages 1-23, May.
    8. Santosh Kumar & Ganesh Rauniyar, 2018. "The impact of rural electrification on income and education: Evidence from Bhutan," Review of Development Economics, Wiley Blackwell, vol. 22(3), pages 1146-1165, August.
    9. Richard S. J. Tol, 2023. "Navigating the energy trilemma during geopolitical and environmental crises," Papers 2301.07671, arXiv.org.
    10. Pueyo, Ana & Carreras, Marco & Ngoo, Gisela, 2020. "Exploring the linkages between energy, gender, and enterprise: Evidence from Tanzania," World Development, Elsevier, vol. 128(C).
    11. Salmon, Claire & Tanguy, Jeremy, 2016. "Rural Electrification and Household Labor Supply: Evidence from Nigeria," World Development, Elsevier, vol. 82(C), pages 48-68.
    12. Grogan, Louise, 2018. "Time use impacts of rural electrification: Longitudinal evidence from Guatemala," Journal of Development Economics, Elsevier, vol. 135(C), pages 304-317.
    13. Ntsiful, Enoch & Dramani, John Bosco & Adusah-Poku, Frank & Frimpong, Prince Boakye, 2024. "Effect of electricity access on the value of women’s labour and time in Ghana," World Development Perspectives, Elsevier, vol. 35(C).
    14. Thomas, Daniel Robert & Harish, S.P. & Kennedy, Ryan & Urpelainen, Johannes, 2020. "The effects of rural electrification in India: An instrumental variable approach at the household level," Journal of Development Economics, Elsevier, vol. 146(C).
    15. AbuBakr Bahaj & Luke Blunden & Christopher Kanani & Patrick James & Isaac Kiva & Zoë Matthews & Heather Price & Hildah Essendi & Jane Falkingham & Gerard George, 2019. "The Impact of an Electrical Mini-grid on the Development of a Rural Community in Kenya," Energies, MDPI, vol. 12(5), pages 1-21, February.

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    More about this item

    JEL classification:

    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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