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Using Bank Savings Product Design for Empowering Women and Agricultural Development

Author

Listed:
  • Galdo, Jose C.

    (Carleton University)

Abstract
This study examines whether the random allocation of single and joint saving accounts to cash crop farmers in rural Ethiopia is associated with changes in decision-making authority and control over resources that ultimately lead to changes in labor effort, schooling allocations, income, consumption, agricultural investments, and crop output. Women and children work more when joint deposit accounts are available. Likewise, meaningful effects on school participation are reported for girls. Consistent with posited channels of intrahousehold bargaining models, women from households assigned to the joint saving treatment group show significant gains in autonomy and control of savings resources, and financial empowerment. While we find substantial gains in subjective wellbeing for single and joint account experimental groups, no meaningful impacts on agricultural crop output, income, and consumption are found. However, a systematic decumulation of livestock assets is observed across households assigned to the joint account treatment group.

Suggested Citation

  • Galdo, Jose C., 2021. "Using Bank Savings Product Design for Empowering Women and Agricultural Development," IZA Discussion Papers 14523, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp14523
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    References listed on IDEAS

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    More about this item

    Keywords

    bank savings; agriculture markets; labor; schooling; women empowerment; RCT;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • J43 - Labor and Demographic Economics - - Particular Labor Markets - - - Agricultural Labor Markets
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • R20 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - General

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