This paper uses an exogenous shock to wages from the world’s largest anti-poverty program to show that higher wages can lead to increased air pollution, likely by inducing farmers to shift into a labor-saving and mechanized production process. Using a difference-in-differences approach on the staggered roll-out of India’s Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA), combined with data on nearly 1 million fires, the paper shows...
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INFORMACIÓN
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2023/03/27
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Documento de trabajo sobre investigaciones relativas a políticas
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WPS10376
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1
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2023/03/27
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Disclosed
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Man or Machine ? Environmental Consequences of Wage Driven Mechanization in Indian Agriculture