What promotes female empowerment and gender equality? We investigate how internal population mobility and social interaction foster the advancement of female empowerment and gender equality across diverse subpopulations. Using the urban-to-rural youth resettlement program in China during the 1970s — the Send-down Movement — as our empirical context, we find that rural females with greater exposure to urban youths have achieved higher levels of education, increased labor force participation, greater financial independence, enhanced autonomy in marital and fertility decisions, increased political engagement, heightened self-confidence, reduced risk aversion, and a stronger belief in gender-equal ideologies and social values. Our findings underscore the role of population mobility in disseminating gender-equal ideologies and practices, both through human capital formation and social interactions, leading to lasting impacts on female empowerment in traditional societies.
This study assesses the health benefits of better air quality by examining the causal impact of China’s stringent “2+26” regional air pollution control policy on local air quality and population health. Employing a spatial regression discontinuity design that capitalizes on the policy’s location-specific features, we present compelling evidence that the 2+26 policy results in an average reduction of 12.2 units in the local Air Quality Index (AQI) and a 47.0% decrease in per capita medical expenditure from 2014 to 2018. A one-unit reduction in AQI corresponds to a 0.88% reduction in per capita annual medical spending, equivalent to RMB 30.2 (US$4.6). These health gains stem from reduced chronic disease prevalence and improved subjective well-being. Nationally, air quality improvement during 2014–2018 could save RMB 674billion (US$104billion) annually in national direct medical costs, constituting 11.6% of national medical expenditure in 2018. Our findings underscore the substantial health and welfare gains achievable through pollution controls in developing countries.
Rural households contend with numerous uninsured risks that hinder their ability to leverage profitable yet risky opportunities. We study whether the provision of insurance coverage for medical expenditure, one of the most substantial and unpredictable risk, can stimulate entrepreneurship and other risky financial decisions among rural households. We leverage the progressive nationwide rollout of a universal public health insurance program in rural China. We find that the introduction of health insurance led to a substantial increase in rural households engagement in entrepreneurship. This increase is mainly driven by the risk sharing of health insurance, rather than a reduction in realized medical expenses. The entrepreneurship-promoting effect is also evident at an aggregate level, fostering the growth of smallholder businesses in rural counties. Our findings shed light on the understudied, favorable impact of health insurance on household’s risk taking in rural markets of developing countries.