Do Safety Nets Affect Investment? Research on impact of guaranteed income wins best paper prize
WRDS Best Paper Award was presented by the Midwest Finance Association during their annual conference
Safety Nets, Credit, and Investment: Evidence from a Guaranteed Income Program
Nishant Vats (University of Chicago)
Pulak Ghosh (Indian Institute of Management Bangalore)
Abstract:
Do safety nets affect investment? If so, how? Combining a natural experiment that gives guaranteed income to landowning farmers in India with transaction-level bank data and loan-level credit bureau data, researchers evaluate the impact of unconditional and perpetual guaranteed income on small farmer entrepreneurs.
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