Born to be different: The role of local political leaders in poverty reduction in China

Abstract

By incorporating imprinting theory into a political–economic framework, this paper studies the role of local political leaders in poverty reduction. Exploiting exogenous turnovers of city-level party secretaries in China, I find that city secretaries with early-life poverty experiences are more likely to increase the incomes of poor families in their jurisdictions. I further find that the effect of city secretaries' poverty experiences on the income of the poor is more pronounced in the counties that are not officially categorized as impoverished by the central government and among the families living above the poverty line set by the Chinese government but below the international poverty line proposed by the World Bank. It is suggested that local political leaders affect poverty reduction outcomes by instilling their personal preferences, which can be shaped by their early experiences, into their economic decisions.