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Rural roads and local economic development

Author

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  • Asher,Samuel Edward
  • Novosad,Paul Michael

Abstract

Nearly one billion people worldwide live in rural areas without access to the paved road network. This paper measures the impacts of India's $40 billion national rural road construction program using regression discontinuity and data covering every individual and firm in rural India. The main effect of new feeder roads is to allow workers to obtain nonfarm work. However, there are no major changes in consumption, assets or agricultural outcomes. Nonfarm employment in the village expands only slightly, suggesting the new work is found outside of the village. Even with better market connections, remote areas may continue to lack economic opportunities.

Suggested Citation

  • Asher,Samuel Edward & Novosad,Paul Michael, 2018. "Rural roads and local economic development," Policy Research Working Paper Series 8466, The World Bank.
    • Handle: RePEc:wbk:wbrwps:8466
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    Cited by:

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    2. Lagakos, David & Marshall, Samuel & Mobarak, Ahmed Mushfiq & Vernot, Corey & Waugh, Michael E., 2020. "Migration costs and observational returns to migration in the developing world," Journal of Monetary Economics, Elsevier, vol. 113(C), pages 138-154.
    3. Abbasi ,Mansoureh & Lebrand,Mathilde Sylvie Maria & Mongoue,Arcady Bluette & Pongou,Roland & Zhang,Fan, 2022. "Roads, Electricity, and Jobs: Evidence of Infrastructure Complementarity in Sub-Saharan Africa," Policy Research Working Paper Series 9976, The World Bank.
    4. Yasuharu Shimamura & Satoshi Shimizutani & Eiji Yamada & Hiroyuki Yamada, 2023. "On the inclusiveness of rural road improvement: Evidence from Morocco," Review of Development Economics, Wiley Blackwell, vol. 27(3), pages 1721-1745, August.
    5. Ferreira, Francisco H. G. & Galasso, Emanuela & Negre, Mario, 2018. "Shared Prosperity: Concepts, Data, and Some Policy Examples," IZA Discussion Papers 11571, Institute of Labor Economics (IZA).
    6. Abu-Qarn, Aamer & Lichtman-Sadot, Shirlee, 2019. "Connecting Disadvantaged Communities to Work and Higher Education Opportunities: Evidence from Public Transportation Penetration to Arab Towns in Israel," IZA Discussion Papers 12824, Institute of Labor Economics (IZA).
    7. Yury B. Melnikov & Egor Skvortsov & Natalia Ziablitckaia & Alexander Kurdyumov, 2022. "Modeling of Territorial and Managerial Aspects of Robotization of Agriculture in Russia," Mathematics, MDPI, vol. 10(14), pages 1-17, July.
    8. Matteo Fiorini & Marco Sanfilippo, 2022. "Roads and Jobs in Ethiopia [When Should You Adjust Standard Errors for Clustering?”]," The World Bank Economic Review, World Bank, vol. 36(4), pages 999-1020.
    9. Pranab Bardhan & Sandip Mitra & Dilip Mookherjee & Anusha Nath, 2018. "Resource Transfers to Local Governments: Political Manipulation and Household Responses in West Bengal," Boston University - Department of Economics - The Institute for Economic Development Working Papers Series dp-319, Boston University - Department of Economics.
    10. Tohari, Achmad & Parsons, Christopher & Rammohan, Anu, 2021. "Capital Fundamentalism and Structural Transformation," IZA Discussion Papers 14444, Institute of Labor Economics (IZA).
    11. Christensen, Peter & Osman, Adam, 2021. "The Demand for Mobility: Evidence from an Experiment with Uber Riders," IZA Discussion Papers 14179, Institute of Labor Economics (IZA).
    12. Sumit Agarwal & Abhiroop Mukherjee & S Lakshmi Naaraayanan, 2019. "Roads and Loans," HKUST IEMS Working Paper Series 2019-61, HKUST Institute for Emerging Market Studies, revised May 2019.
    13. Das, Gouranga G. & Ginting, Edimon & Horridge, Mark & Yamano, Takashi, 2023. "Growth Constraints and Structural Diversification for Kyrgyzstan Economy: Policy Analysis of Key Reforms and its Implications," GLO Discussion Paper Series 1250, Global Labor Organization (GLO).
    14. Mahajan, Avichal, 2024. "Highways and segregation," Journal of Urban Economics, Elsevier, vol. 141(C).
    15. Brian Blankespoor & M Shahe Emran & Forhad Shilpi & Lu Xu, 2022. "Bridge to bigpush or backwash? Market integration, reallocation and productivity effects of Jamuna Bridge in Bangladesh [Agricultural technology choice and transport]," Journal of Economic Geography, Oxford University Press, vol. 22(4), pages 853-871.
    16. Silvia Marchesi & Tania Masi, 2019. "Allocation of Implementing Power: Evidence from World Bank Projects," Development Working Papers 447, Centro Studi Luca d'Agliano, University of Milano.
    17. Min Min & Chen Lin & Xuejun Duan & Zhifeng Jin & Luocheng Zhang, 2021. "Research on targeted land poverty alleviation patterns based on the precise identification of dominant factors of rural poverty: a case study of Siyang County, Jiangsu Province, China," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(9), pages 12791-12813, September.
    18. Timilsina,Govinda R. & Hochman,Gal & Song,Ze, 2020. "Infrastructure, Economic Growth, and Poverty : A Review," Policy Research Working Paper Series 9258, The World Bank.
    19. Raj Chetty, 2021. "Improving Equality Of Opportunity: New Insights From Big Data," Contemporary Economic Policy, Western Economic Association International, vol. 39(1), pages 7-41, January.

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