Abstract
The Government of Nepal published the landmark Compact Rural Settlements Policy (CRSP) in 2013. The policy paper argued for clustering settlements in rural Nepal in order to improve quality of life for people. One of the main arguments of this paper is that rural out-migration happens due to lack of services. This paper analyzes the relationship between migration and availability of services in Nepal. The results demonstrate that the relationship among migration decision, availability of health and education services is statistically insignificant. In other words, the claims of the CRSP paper needs to be reevaluated and a comprehensive cost–benefit analysis of resettlements should be conducted before government led clustered settlements are built in the country.
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