Project description:Vulnerability to food poverty is the probability of an individual falling below the food poverty line in the near future, which provides a forward-looking welfare analysis. Applying a nationally representative survey dataset, this study investigates the role of the New Rural Pension Scheme (NRPS) in reducing food poverty and vulnerability among the rural elderly with chronic diseases. By designing province-specific food poverty lines to account for variations in the elderly’s needs, as well as the prices across provinces using a least-cost linear programming approach, the food poverty incidences among the elderly with chronic diseases are calculated. Applying a three-stage feasible generalized least squares (FGLS) procedure, the vulnerability to food poverty is estimated. Our results show that food poverty incidence and vulnerability of the elderly with chronic diseases in rural China is 41.9% and 35% respectively, which is 8% and 6% higher, respectively, than the elderly that are in good health. To address the potential endogeneity of pension payment, a fuzzy regression discontinuity (RD) regression is employed to investigate the effects of pension income on food poverty and vulnerability for different population groups. We found that pension income decreases the probability of being food poor and the vulnerability to food poverty among the elderly with chronic diseases by 12.9% and 16.8% respectively, while it has no significant effect on the elderly in good health.
Project description:BackgroundIn 2016, the Chinese government introduced an integration reform of the health insurance system with the aim to enhance equity in healthcare coverage and reduce disparities between urban and rural sectors. The gradual introduction of the policy integrating urban and rural medical insurance in pilot cities provides an opportunity to evaluate the policy impact. This study attempts to assess the policy impact of urban-rural health insurance integration on the chronic poverty of rural residents and to analyze the mechanisms.MethodBased on the four waves of data from the China Health and Retirement Longitudinal Study (CHARLS) conducted in 2011, 2013, 2015, and 2018, we employed a staggered difference-in-differences (staggered DID) model to assess the impact of integrating urban-rural health insurance on poverty vulnerability among rural inhabitants and a mediation model to analyze the mechanism channel of the policy impact.Results(1) Baseline regression analysis revealed that the urban-rural health insurance integration significantly reduced the poverty vulnerability of rural residents by 6.32% (p < 0.01). The one health insurance system with one unified scheme of contributions and benefits package (OSOS, 6.27%, p < 0.01) is more effective than the transitional one health insurance system with multiple schemes (OSMS, 3.25%, p < 0.01). (2) The heterogeneity analysis results showed that the urban-rural health insurance integration had a more significant impact on vulnerable groups with relatively poor health (7.84%, p < 0.1) than those with fairly good health (6.07%, p < 0.01), and it also significantly reduced the poverty vulnerability of the group with chronic diseases by 9.59% (p < 0.01). The integration policy can significantly reduce the poverty vulnerability of the low consumption and low medical expenditure groups by 8.6% (p < 0.01) and 7.64% (p < 0.01), respectively, compared to their counterparts. (3) The mechanism analysis results showed that the urban-rural health insurance integration can partially enhance labor supply (14.23%, p < 0.01) and physical examinations (6.28%, p < 0.01). The indirect effects of labor supply and physical examination in reducing poverty vulnerability are 0.14%, 0.13% respectively.ConclusionThe urban-rural health insurance integration policy significantly reduced poverty vulnerability, and the OSOS is more effective than the OSMS. The urban-rural health insurance integration policy can significantly reduce poverty vulnerability for low consumption and poor health groups. Labor supply and physical examination are indirect channels of the impact. Both channels potentially increase rural household income and expectations of investment in human health capital to achieve the policy objective of eliminating chronic poverty.
Project description:The study develops a theoretical framework of how irrigation and drainage infrastructure and rural transportation infrastructure influence poverty. Using panel data on 31 provinces in China from 2002 to 2017, this paper estimates basic and continuous difference-in-differences (DID) models to investigate the preliminary impact of irrigation and drainage infrastructure and rural transportation infrastructure on poverty and further explores the influence mechanisms of these rural infrastructures on poverty by using the mediating effect model. The results show that irrigation and drainage facilities infrastructure can directly reduce poverty. On the one hand, rural transportation infrastructure directly leads to rural hollowing out and aggravates rural poverty; on the other hand, it indirectly promotes poverty reduction by stimulating economic growth. Overall, the positive and negative effects of rural transportation infrastructure on poverty offset each other.
Project description:Rural family differentiation is an important perspective to analyze farmers' behavior and poverty. Based on the data of 1673 farm households from rural field survey in 2019 in Hubei Province of China, this paper examines the main influencing factors of farm household differentiation on farm household poverty vulnerability from the perspective of the sustainable livelihoods of farm households. On this basis, the contribution of each influencing factor to farm household poverty vulnerability is analysed using the regression decomposition method. The results of the study show that the variables of farm household differentiation have a significant impact on poverty vulnerability, and the net household income per capita, which reflect the vertical differentiation of farm households, and the proportion of non-farm labor, which reflects the horizontal differentiation of farm households. Both have a significant negative impact on the poverty vulnerability of farm households. The regression decomposition method shows that the proportion of non-farm labor force, which reflects the horizontal differentiation of farm households, has the highest contribution to the poverty vulnerability of farm households. Human capital, natural capital, social capital, and physical capital also influence the poverty vulnerability of farm households to a certain extent.
Project description:This study aimed to investigate the association between sanitary toilets and health poverty vulnerability among rural western Chinese adults aged 45 years and older. Using data from the 'Rural Household Health Inquiry Survey' conducted in 2022, a three-stage feasible generalized least squares method was employed to calculate health poverty vulnerability. Propensity score matching (PSM) and mediation effect analysis were used to assess the association between sanitary toilets and health poverty vulnerability among rural western Chinese adults aged 45 years and older and the mechanisms underlying this impact. This study revealed that the use of sanitary toilets was significantly associated with decreased health poverty vulnerability in adults over 45 years of age. Heterogeneity analysis revealed that this effect was more pronounced among males (β = -0.0375, P<0.05), those aged 60-74 years (β = -0.0476, P<0.05), and households with middle income (β = -0.0590, P<0.01). Mediation effect analysis identified total household income (a×b = -0.0233, P<0.05), household size (a×b = -0.0181, P<0.01), number of household laborers (a×b = -0.0107, P<0.01), and registered poor households (a×b = -0.0081, P<0.01) as the mediating factors between sanitary toilets and health poverty vulnerability. The provision of sanitary toilets has been instrumental in mitigating health-related poverty among middle-aged and elderly people residing in rural areas. By improving household livelihood capital, the vulnerability of these individuals to health-related poverty can be significantly reduced.
Project description:Since 2013, China has implemented a large-scale initiative to systematically deploy solar photovoltaic (PV) projects to alleviate poverty in rural areas. To provide new understanding of China's targeted poverty alleviation strategy, we use a panel dataset of 211 pilot counties that received targeted PV investments from 2013 to 2016, and find that the PV poverty alleviation pilot policy increases per-capita disposable income in a county by approximately 7%-8%. The effect of PV investment is positive and significant in the year of policy implementation and the effect is more than twice as high in the subsequent two to three years. The PV poverty alleviation effect is stronger in poorer regions, particularly in Eastern China. Our results are robust to alternative specifications and variable definitions. We propose several policy recommendations to sustain progress in China's efforts to deploy PV for poverty alleviation.
Project description:This paper investigates the impact of financial Inclusion on household poverty and vulnerability by constructing a household financial inclusion index using the China Household Finance Survey 2015. It is found that financial Inclusion significantly reduces the probability of poverty and vulnerability of households and has a more significant impact on vulnerable groups such as rural and urban low-income people. Further, financial Inclusion has a more significant effect on poor families that do not receive government support for poverty alleviation and can complement co-insurance mechanisms to help families better cope with vulnerabilities caused by synergistic community shocks. Finally, promoting entrepreneurship and improving risk management capabilities are the main channels of financial Inclusion.
Project description:ObjectivesThis study aimed to examine whether China's Targeted Poverty Alleviation (TPA) program mitigates depression and explores the mechanisms through which the TPA program affects individuals' depression.MethodsUsing the data from the China Family Panel Studies (CFPS) survey from 2012 to 2020, we employ a Difference-in-Difference model to analyze the effect of the TPA program on individuals' depression levels.ResultsOur findings indicate that the TPA program reduces depression scores by 0.116 points, accounting for 6.82% of the standard deviation of depression scores. Further analyses indicate that these effects are mediated through improvements in local medical conditions, reductions in household healthcare spending, increases in household entertainment expenditures, and greater likelihood of living in family.ConclusionThis study showed that the TPA program significantly mitigates individuals' depression levels. The possible channels include (1) improving local medical conditions, (2) cutting down household healthcare spending, (3) increasing household entertainment expenses, and (4) increasing the likelihood of living in family.
Project description:Disease is the primary cause of poverty in China. Health insurance is an essential mechanism for managing health risks and addressing the risk of financial loss. Using data from the China Family Panel Studies (CFPS) waves from 2010 to 2016, this study develops a random forest method to assess households' vulnerability to poverty and then examines the impact of major illness insurance on vulnerability to poverty by focusing on the rollout period of a major illness insurance scheme. The research also examines the impact of increased major illness insurance coverage on poverty reduction by focusing on the change from low- to high-coverage health insurance. The findings indicate that major illness insurance and improvements in the degree of coverage significantly reduce vulnerability to poverty. In addition, major illness insurance is found to alleviate the vicious cycle of poverty and disease through the mechanism of increasing household income, and its effect has strengthened over time. Compared to other poverty reduction policies, major illness insurance has a greater influence on poverty alleviation.
Project description:As digital finance is widely spread and applied in China, this new format of financial technology could become a new way to reduce poverty in rural areas. By matching digital financial indexes of the prefectural-level cities with microdata on rural households from the China Household Finance Survey (CHFS) in 2017, we find that digital finance significantly suppresses absolute poverty and relative poverty among rural households in China, which is supported by a series of robustness tests, such as the instrumental variable approach, using alternative specifications, and excluding extreme observations. Additionally, we provide evidence that the poverty reduction effect of digital finance is likely to be explained by alleviating credit constraints and information constraints, broadening social networks, and promoting entrepreneurship. Our findings further complement the research field on financial poverty reduction and offer insights for the development of public financial policies of poverty reduction in other countries, especially in some developing countries.