Employment demand and generation under MGNREGA in India: examining external and internal shocks with special reference to climate change and COVID-19 pandemic
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引用次数: 0
Abstract
Purpose
Despite India achieving many milestones under MGNREGA, the external and internal shocks result in below potential outcomes in employment demand and generation. This study examines how these shocks matter and how the migration-prone regions perform.
Design/methodology/approach
This study, employing district-level data from 2018 to 2021, investigates how climate change and COVID-19 have affected the employment demand and supply. We applied RE-GLS and IV-2SLS regressions to examine the effects of shocks on employment demand and generation, respectively. The difference in difference panel model is employed to test the spatial effects of the pandemic. Further, we used RE-GLS and extended regression model to examine how external shocks interacting with migration affect unemployment rates.
Findings
It was found that the pandemic increased employment demand and generation. This reflects the adverse effects of the pandemic and the swift action by the government. However, the responses were possibly different during climate shocks. The wage differential increased employment demand. However, demand decreased due to poor support from the support staff. The employment generation was higher in migration-prone districts, indicating that seasonal migration, being a lean-season phenomenon, continues to occur despite employment generation.
Originality/value
This study contributes to the literature in several ways. It captures spatial variations while examining the impact of climate change and COVID-19. It investigates the performance of MGNREGA in migration-prone areas. In effect, the findings provide policymakers with greater insight into the issues.
Peer review
The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-02-2024-0132.
期刊介绍:
The International Journal of Social Economics publishes original and peer-reviewed theoretical and empirical research in the field of social economics. Its focus is on the examination and analysis of the interaction between economic activity, individuals and communities. Social economics focuses on the relationship between social action and economies, and examines how social and ethical norms influence the behaviour of economic agents. It is inescapably normative and focuses on needs, rather than wants or preferences, and considers the wellbeing of individuals in communities: it accepts the possibility of a common good rather than conceiving of communities as merely aggregates of individual preferences and the problems of economics as coordinating those preferences. Therefore, contributions are invited which analyse and discuss well-being, welfare, the nature of the good society, governance and social policy, social and economic justice, social and individual economic motivation, and the associated normative and ethical implications of these as they express themselves in, for example, issues concerning the environment, labour and work, education, the role of families and women, inequality and poverty, health and human development.