Got (Clean) Milk?: Organization, Incentives, and Management in Indian Dairy Cooperatives (joint with Ashish Shenoy), Journal of Economic Behavior and Organization, Vol 212, Aug 2023, Pages 708-722
Type: Published Paper, 2023
Much smallholder production in developing countries takes place in groups that enforce production norms and mediate internal allocation of surplus. We evaluate incentive contracts for quality upgrading among such production teams. In a randomized experiment with rural Indian dairy cooperatives, we find group incentives improve aggregate quality even when individual quality cannot be traced, with evidence of increased effort from both producers and managers. However, several cooperative managers decline incentive payments when local elites cannot control payment-related information disclosure. Survey evidence suggests disclosure introduces frictions, implying that some efforts to limit elite capture may undermine broader development goals. Link to AEA Trial Registry. Link to Open Access Pub.
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