Worldwide, 1.6 million girls are “missing” at birth every year. One policy tool to improve the sex ratio is a conditional cash transfer that pays parents to invest in daughters, but existing evidence on their effectiveness is sparse. Using a difference-in-differences framework, we evaluate the Dhanlakshmi scheme, an Indian CCT program that strongly encouraged girl births without restricting fertility. Dhanlakshmi improved the sex ratio at birth, with only a small fertility increase. The girl-birth effect was concentrated among the first two parities and partially persisted after the program was discontinued. Post-birth outcomes like immunization and education also improved.
The Power of Lakshmi Nabaneeta Biswas, Christopher Cornwell, Laura V. Zimmermann Journal of Human Resources Jun 2023, 1021-11963R2; DOI: 10.3368/jhr.1021-11963R2
