Financial Incentives for Female Births and Parental Investments in Daughters: Evidence from a Program in North India

Last updated December 2010
Authors:
Nistha Sinha; Joanne Yoong

Abstract:

Since the early 1990s, several states in India have introduced financial incentive programs to discourage son preference among parents and encourage investment in daughters’ education and health. This study evaluates one program in the state of Haryana, Apni Beti Apna Dhan (“Our Daughter, Our Wealth”). Since 1994, eligible parents in Haryana have been offered a financial incentive if they give birth to a daughter. The incentive consists of an immediate cash grant and a long-term savings bond redeemable on the daughter’s 18th birthday provided she is unmarried, with additional bonuses for education. Although no specific program participation data are available, we estimate early intent-to-treat program effects on mothers (sex ratio among live children, fertility preferences) and children (mother’s use of antenatal care, survival, nutritional status, immunization, schooling) using statewide household survey data on fertility and child health, and constructing proxies for household and individual program eligibility.

Contact Information:
Nistha Sinha, nistha.sinha@yale.edu; Joanne Yoong, rekhavar@uchicago.edu, The World Bank