ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Reassessing the Impact of SHG Participation with Non-experimental Approaches

This paper critiques recent work that measures the impact of self-help groups, and explains the biases that result from this assessment. Using survey data, it is shown that the methodologies used yield results that misstate the impact. A categorical breakdown is proposed to improve upon these studies, and a simple alternative procedure, the pipeline method, is then estimated to properly correct for selection bias. The results indicate that SHG participation has an impact on assets, livestock income, and salaries. Applying more advanced methods, training is also found to have a positive impact on assets, and empowerment is found to increase with SHG participation.

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