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Cited by 710

The DOI matches its Crossref record; 92 of the 92 references it cites were found in a registry or an index.

Underinvestment in a Profitable Technology: The Case of Seasonal Migration in Bangladesh

Open access
·2014·Econometrica
DOI 10.3982/ecta10489
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Abstract

Hunger during pre-harvest lean seasons is widespread in the agrarian areas of Asia and Sub-Saharan Africa. We randomly assign an $8.50 incentive to households in rural Bangladesh to out-migrate during the lean season. The incentive induces 22 % of households to send a seasonal migrant, their consumption at the origin increases significantly, and treated households are 8-10 percentage points more likely to re-migrate 1 and 3 years after the incentive is removed. These facts can be explained qualitatively by a model in which migration is risky, mitigating risk requires individual-specific learning, and some migrants are sufficiently close to subsistence such that failed migration is very costly. We document evidence consistent with this model using heterogeneity analysis and additional experimental variation, but calibrations with forward-looking households that can save up to migrate suggest that it is difficult for the model to quantitatively match the data. We conclude with extensions to the model that

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Metadata

Venue
Econometrica
Publisher
The Econometric Society
Published
2014
Volume
82
Issue
5
Pages
1671-1748
ISSN
0012-9682 (ISSN-L)
DOI
10.3982/ecta10489
OpenAlex
W2122396557
Cited by
710
References
92
FWCI
123.23
Type
journal article
Language
en
Open access
green

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