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Consumption Smoothing Across Space: Testing Theories of Risk-Sharing in the ICRISAT Study Region of South India

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  • Jonathan Morduch

Abstract

Panel data from villages in rural south India have been used for leading econometric studies on risk-sharing in village economies. The work has influenced debate on safety net design world-wide and has driven scholarly agendas on household economics. This paper critically surveys work to date and provides new results. The data show that state-contingent transfers between households can in principle reduce total income risk by between 40 and 90 per cent.

Suggested Citation

  • Jonathan Morduch, 2002. "Consumption Smoothing Across Space: Testing Theories of Risk-Sharing in the ICRISAT Study Region of South India," WIDER Working Paper Series DP2002-55, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:dp2002-55
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    Cited by:

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    2. Bharat Ramaswami & Shamika Ravi & S.D. Chopra, 2003. "Risk management in agriculture," Discussion Papers 03-08, Indian Statistical Institute, Delhi.
    3. Gisele Kamanou & Jonathan Morduch, 2002. "Measuring Vulnerability to Poverty," WIDER Working Paper Series DP2002-58, World Institute for Development Economic Research (UNU-WIDER).
    4. Emiliano Magrini & Pierluigi Montalbano, 2012. "Trade openness and vulnerability to poverty: Vietnam in the long-run (1992-2008)," Working Paper Series 3512, Department of Economics, University of Sussex Business School.
    5. Annim, Samuel Kobina & Dasmani, Isaac & Armah, Mark, 2011. "Does Access and Use OF Financial Service Smoothen Household Food Consumption?," MPRA Paper 29278, University Library of Munich, Germany.

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