Subjective income expectations and risks in rural India
Alok Kumar ()
No 165, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)
This paper analyses the pattern and determinants of income risk and expectation in rural India. It uses unique primary survey data eliciting subjective income distribution from households in twelve villages in Bihar. It finds that expected future income is significantly and positively associated with its variance. Current income is a significant predictor of expected future income and its variance. While both expected future income and its variance increase with current income, there is a significant negative association between the coefficient of variation of future income and current income, suggesting that low-income households face greater variability in their income. Upper caste households and households reliant on non-agricultural income have significantly higher expected future income and variance. Income process is highly persistent. This paper is one of the first to utilize subjective expectation data to analyse income risk in a developing country.
New Economics Papers: this item is included in nep-agr and nep-dev
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
https://www.wider.unu.edu/sites/default/files/Publ ... r/PDF/wp2017-165.pdf
Journal Article: Subjective Income Expectations and Risks in Rural India (2019)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:unu:wpaper:wp2017-165
Access Statistics for this paper
More papers in WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER) Contact information at EDIRC.
Bibliographic data for series maintained by Mauricio Roa Grisales ().