In 1993, the Indian government introduced debt recovery tribunals to speed up resolution of claims larger than a threshold. This paper exploits staggered introduction across states and link between overdues claim size implement differences-in-differences strategy on project loan data. It finds that reduced delinquency for average by 28 percent. They also lowered interest rates charged loans, holding constant borrower quality. suggests speedier processing suits can lower cost credit. (JEL...

It is generally presumed that stronger legal enforcement of lender rights increases credit access for all borrowers because it expands the set incentive compatible loan contracts. This result relies on an assumption supply infinitely elastic. In contrast, with inelastic supply, generates general equilibrium effects may reduce small and expand wealthy borrowers. a firm-level panel, we find evidence Indian judicial reform increased banks' ability to recover nonperforming loans had such adverse...

West Bengal potato farmers cannot directly access wholesale markets and do not knowwholesale prices. Local middlemen earn large margins; pass-through from to farmgate prices is negligible. When we informed in randomly chosen villages about prices, average sales were unaffected, but increased. These results can be explained by a model where bargain ex post with village middlemen, the outside option of selling village. They are inconsistent standard oligopolistic models pass-through, search...

ABSTRACT We arranged for trained undercover men and women to pose as potential clients visit all 65 local financial advisory firms in Hong Kong. At planning firms, but not at securities were more likely than receive advice buy only individual or securities. Female who signaled high confidence, risk tolerance, a domestic outlook especially this suboptimal advice. Our theoretical model explains these patterns result of statistical discrimination interacting with advisors’ incentives....

Abstract We conduct a field experiment in India comparing two ways of delegating selection microcredit clients among smallholder farmers to local intermediaries: private trader (TRAIL), versus local–government appointee (GRAIL). Selected beneficiaries both schemes were equally likely take up and repay loans, experienced similar increases borrowing farm output. However profits increased unit costs production decreased significantly only TRAIL. While there is some evidence superior by ability...

Segregation, Rent Control, and Riots: The Economics of Religious Conflict in an Indian City by Erica Field, Matthew Levinson, Rohini Pande Sujata Visaria. Published volume 98, issue 2, pages 505-10 American Economic Review, May 2008

The current study draws on the motivational model of achievement which has been guiding research growth mindset intervention (Dweck & Leggett, 1988) and examines how this interacts with incentive systems to differentially influence performance for high- low-achieving students in Indian schools that serve low-SES communities. Although, as expected, did interact prior subsequent academic performance, existing framework cannot fully account observed effects. Specifically, we found facilitate...

It is generally presumed that strengthening the legal enforcement of lender rights increases credit access for all borrowers, by expanding set incentive-compatible loan contracts. This presumption based on an implicit assumption infinitely elastic supply loans. With inelastic supply, generates general equilibrium effects which may reduce small while it wealthy borrowers. In a firm-level panel, we find evidence such adverse distributional impacts caused Indian judicial reform in 1990s...

In the Indian state of West Bengal, potato farmers sell to local middlemen because they lack direct access wholesale markets. high-frequency farmer marketing surveys we find that are poorly informed about and retail prices, there is a large gap between farmgate prices. To test alternative models farmer-middlemen trades, conduct field experiment providing in randomly chosen villages with market price information. Information provision had negligible average effects on sales revenues, but...

Trained undercover men and women posed as potential clients visited all 65 local financial advisory firms in Hong Kong. We find that are more likely than to receive advice buy only individual or securities. This effect is significant for planners, but not securities firms. Women who signal they highly confident, risk tolerant, have a domestic outlook, especially suboptimal advice. Our theoretical model interprets these patterns an interaction between statistical discrimination advisors’...

We argue that inter-country comparisons of income poverty based on lines uniformly reflecting the costs basic requirements human beings are superior to existing money-metric approaches. In this exercise, we implement a uniform approach assessment capabilities for three countries: Nicaragua, Tanzania, and Vietnam. compute standard errors resulting estimates compare incidence across these countries. The choice affects both cardinal ordinal rankings countries over time. Meaningful coherent can...

Recent evaluations of traditional microfinance loans have found no significant impacts on borrower incomes or productive activities.We examine whether this can be remedied by (a) modifying loan features to facilitate financing working capital needs farmers, and (b) delegating selection borrowers for individual liability local trader-lender agents incentivized repayment-based commissions.We conduct a field experiment in West Bengal where design (called TRAIL) was offered randomly selected...

It is generally presumed that strengthening the enforcement of lender rights increases credit access for all borrowers, by expanding set incentive compatible loan contracts. This based on an implicit assumption infinitely elastic supply loans. With inelastic supply, can reduce small borrowers while it wealthy borrowers. We find evidence from a firm-level panel data such adverse distributional impacts Indian judicial reform which increased banks' ability to recover non-performing loans in 1990s.

Recent work from developed parts of the world has documented a positive association between air pollution and criminal activity. We use high-frequency complaints data to estimate pollution’s causal effects on crime in developing country. In order establish causality, we exploit plausibly exogenous local variation wind direction an instrumental variable setup. find that lower number are received days high levels. This effect is more pronounced for property crimes than violent crimes. Our...