Abstract
We estimate effects of Rashtriya Swasthya Bima Yojana (RSBY), a government sponsored health insurance scheme for poor in India, on women’s labour force participation rates, employment and non-labour market activities. Our estimation relied on the staggered expansion of the RSBY program and 3 rounds of large household surveys (1999-2000, 2004-5 and 2011-12) that gathered detailed information on labour force participation and employment, using difference-in-difference methods. RSBY increased labour force participation and employment among poor rural women by 5-9 percentage points; in contrast, effects on male labour force participation were insignificant. Much of the increase in employment among rural women was accounted for by a rise in self-employment, often as part-time work. There is also evidence of a shift from formal to informal sector work; and RSBY appears to have led to a decline in domestic work among women in rural areas.
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