Grid Electricity, Time Allocation and Indoor Air Pollution in Bhutan: An Evidence from Field Experiment

2023 Fiscal Year Research-status Report

• Project/Area Number: 23K12479
• Research Institution: Waseda University
• Principal Investigator: Dendup Ngawang 早稲田大学, 政治経済学術院, 講師(任期付) (00844549)
• Project Period (FY): 2023-04-01 – 2026-03-31
• Keywords: electricity / social capital / land gradient / trust / social interaction

Outline of Annual Research Achievements

There were two rounds of elections in Bhutan (national council and national assembly), so I could not obtain permission to conduct the field experiment. However, using secondary data collected for the same research, I examined the effect of grid electricity on social capital in rural Bhutan. I have completed the paper and submitted it to the journal "Empirical Economics." After receiving a "Revise and Resubmit" request, I resubmitted it, and it is currently under review. I also plan to conduct a field experiment in September 2024, and preparations are currently underway.

Social capital is now recognized as an important policy intervention due to its ability to overcome market failures, particularly through trust and cooperation. However, social capital is susceptible to external factors such as electricity provision. This study examines the effect of electricity on social capital, particularly household-level trust and social interactions. To address the endogeneity of electricity provision, we estimate a bivariate probit model using plausibly exogenous land gradient as an instrument. Our results show that in the short run, the effect of electricity on various measures of social capital is not distinguishable from zero. However, we do find some evidence of a heterogeneous effect, where female-headed and electrified households are positively correlated with social interaction and trust.

Current Status of Research Progress

3: Progress in research has been slightly delayed.

Reason

Last year, there was two rounds of election in Bhutan. I did not get permission to conduct field experiment in Bhutan.

Strategy for Future Research Activity

Currently, I am in process of obtaining permission to conduct field experiment in Bhutan. I am also revising and updating the questionaries. I have also contacted Royal University of Bhutan to help me in getting their help to conduct field experiment and baseline survey. To mitigate the recent rise the cost, I am planning to conduct the baseline survey and experiment together.

Causes of Carryover

The budget allocated for conducting the field experiment could not used last year because there were two rounds of election and I could not conduct the experiment. This year in September, I plan to conduct experiment and I plan to use the budget for conducting baseline survey and field experiment.