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Trade Disruptions and Reshoring by Chakrabarti, Anindya S.; Mahajan, Kanika; Tomar, Shekhar
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American Economic Journal: Applied Economics, January 2025
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Firms are increasingly concerned about the resilience of their sales and sourcing decisions. Using administrative data, we show that a temporary disruption in trade due to state border closures in India led to a persistent trade collapse within the country—interstate trade relative to intrastate remains five percent lower even six months after all restrictions were lifted...
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Curbing Leakage in Public Programs: Evidence from India's Direct Benefit Transfer Policy by Barnwal, Prabhat
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American Economic Review, December 2024
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Targeted price subsidies create a gap between subsidized and unsubsidized prices. The resulting dual pricing can lead to arbitrage opportunities where intermediaries divert subsidized goods to unintended beneficiaries via the black market. I study India's Direct Benefit Transfer policy for cooking fuel subsidies, which altered the existing subsidy program by transferring subsidies directly to beneficiaries' bank accounts...
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