Type: Seminar

Welfare Implications of Political Patronage in Electricity

Speaker

Meera Mahadevan, PhD Talk

Date & Time

Sep 20, 2018, 4:00-5:30 pm EDT

Political patronage in electricity provision is a common occurrence, with politicians favoring their voters. This benefits needy consumers, but hurts electricity providers, affecting their ability to reliably supply electricity to everyone. Using a close-election Regression Discontinuity Design (RDD), I show that actual electricity consumption, from satellite data, is higher in constituencies supporting the ruling party, but reported consumption from electricity bills is lower.

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