IDEAS home Printed from https://ideas.repec.org/p/gad/doctra/dt40b.html
   My bibliography  Save this paper

The benefits of rural roads. Enhancing income opportunities for the rural poor

Author

Abstract

Most studies have measured the benefits of rehabilitated rural roads by focusing on reductions in monetary or time costs needed to access product and factor markets or key public social services. This paper complements these studies by evaluating their impact on key welfare indicators such as income or consumption. Looking at rural households living in some of the poorest districts of Peru, this study compares (using propensity score matching techniques) households located near rehabilitated roads to suitable controls. Results show that rehabilitated road accessibility can be related to changes in income sources, as the rehabilitated road enhances non-agricultural income opportunities, especially from wage-employment sources. The study also finds that income expansion is not been matched by an equivalent consumption increase; apparently because the additional income is allocated to savings, through increments in livestock, most likely because road quality improvement is being perceived as transitory.

Suggested Citation

  • Javier Escobal & Carmen Ponce, 2003. "The benefits of rural roads. Enhancing income opportunities for the rural poor," Documentos de Investigación dt40b, Grupo de Análisis para el Desarrollo (GRADE).
  • Handle: RePEc:gad:doctra:dt40b
    Note: Documento de trabajo, 40-I
    as

    Download full text from publisher

    File URL: https://repositorio.grade.org.pe/bitstream/handle/20.500.12820/233/ddt40EN.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. World Bank, 1994. "World Development Report 1994," World Bank Publications - Books, The World Bank Group, number 5977.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Schiff, Maurice & Valdes, Alberto, 1998. "Agriculture and the macroeconomy," Policy Research Working Paper Series 1967, The World Bank.
    2. Shahbaz, Muhammad & Hoang, Thi Hong Van & Mahalik, Mantu Kumar & Roubaud, David, 2017. "Energy consumption, financial development and economic growth in India: New evidence from a nonlinear and asymmetric analysis," Energy Economics, Elsevier, vol. 63(C), pages 199-212.
    3. Ghate Chetan, 2003. "The Politics of Endogenous Growth," The B.E. Journal of Macroeconomics, De Gruyter, vol. 3(1), pages 1-18, August.
    4. Richard Pomfret, 2003. "Lessons from Economies in Transition from Central Planning," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 36(2), pages 245-252, June.
    5. Lücke, Matthias, 1995. "The impact of accession to GATT on trade-related policies of CIS countries: the case of Belarus," Kiel Working Papers 678, Kiel Institute for the World Economy (IfW Kiel).
    6. Hubbard, Michael, 1995. "The 'new public management' and the reform of public services to agriculture in adjusting economies: the role of contracting," Food Policy, Elsevier, vol. 20(6), pages 529-536, December.
    7. World Bank Group, 2004. "Seizing the Global Opportunity : Investment Climate Assessment and Reform Strategy for Cambodia," World Bank Publications - Reports 15718, The World Bank Group.
    8. Sachs, Jeffrey D. & Warner, Andrew M., 1996. "Achieving Rapid Growth in the Transition Economies of Central Europe," Harvard Institute for International Development (HIID) Papers 294091, Harvard University, Kennedy School of Government.
    9. Peter J. G. Pearson & Roger Fouquet, 1996. "Energy Efficiency, Economic Efficiency and Future CO2 Emissions from the Developing World," The Energy Journal, , vol. 17(4), pages 135-160, October.
    10. didier chabaud & Parthenay Claude & Yannick Perez, 2005. "Environnement institutionnel et trajectoire des entreprises : une analyse northienne de l’industrie électrique," Post-Print hal-04297605, HAL.
    11. Oyesola, O.B., 2007. "Rural Dwellers Perception On Effect Of Infrastructural Facilities On Livelihood Activities In Akinyele Local Government Area Of Oyo State, Nigeria," Journal of Rural Economics and Development, University of Ibadan, Department of Agricultural Economics, vol. 16, pages 1-10.
    12. Olivier Debande, 1997. "Le rôle du secteur privé dans le financement des infrastructures : une mise en perspective historique," Revue Économique, Programme National Persée, vol. 48(2), pages 197-230.
    13. Funke, Michael & Strulik, Holger, 2005. "Growth and convergence in a two-region model: The hypothetical case of Korean unification," Journal of Asian Economics, Elsevier, vol. 16(2), pages 255-279, April.
    14. Dunning, John H. & Lundan, Sarianna M., 1998. "The geographical sources of competitiveness of multinational enterprises: an econometric analysis," International Business Review, Elsevier, vol. 7(2), pages 115-133, April.
    15. Carter, Michael R. & May, Julian, 1999. "Poverty, livelihood and class in rural South Africa," World Development, Elsevier, vol. 27(1), pages 1-20, January.
    16. Ed Diener & Eunkook Suh, 1997. "Measuring Quality Of Life: Economic, Social, And Subjective Indicators," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 40(1), pages 189-216, January.
    17. Aysit Tansel, 1998. "Determinants of School Attainment of Boys and Girls in Turkey," Working Papers 789, Economic Growth Center, Yale University.
    18. Pei, Fanyu & Tilton, John E., 1999. "Consumer preferences, technological change, and the short-run income elasticity of metal demand," Resources Policy, Elsevier, vol. 25(2), pages 87-109, June.
    19. Miguel A. Montoya & Mauricio Cervantes, 2022. "The Role of Regulation in the Development and Internationalization of Social Firms," Sustainability, MDPI, vol. 14(12), pages 1-21, June.
    20. Marjit, Sugata & Mandal, Biswajit & Chatterjee, Tonmoy, 2016. "Infrastructure Development vs Direct Cash Transfer: A General Equilibrium Comparison," MPRA Paper 73126, University Library of Munich, Germany.

    More about this item

    Keywords

    Carreteras; Ingresos de hogares; Empleo; Zonas rurales; Roads; Household income; Employment Rural areas; Peru;
    All these keywords.

    JEL classification:

    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • P25 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Urban, Rural, and Regional Economics
    • J17 - Labor and Demographic Economics - - Demographic Economics - - - Value of Life; Foregone Income
    • R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis
    • J2 - Labor and Demographic Economics - - Demand and Supply of Labor

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gad:doctra:dt40b. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/gradepe.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.