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Research ArticleArticles
Open Access

The Power of Lakshmi

Monetary Incentives for Raising a Girl

View ORCID ProfileNabaneeta Biswas, View ORCID ProfileChristopher Cornwell and View ORCID ProfileLaura V. Zimmermann
Journal of Human Resources, July 2025, 60 (4) 1253-1283; DOI: https://doi.org/10.3368/jhr.1021-11963R2
Nabaneeta Biswas
Nabaneeta Biswas is an associate professor of economics at Marshall University.
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Christopher Cornwell
Christopher Cornwell is a professor of economics at the University of Georgia.
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Laura V. Zimmermann
Laura Zimmermann is an associate professor of economics and international affairs at the University of Georgia .
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  • For correspondence: lvzimmer{at}uga.edu
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    Table 1

    Overview of Girls Child CCT Programs

    Girl CCT ProgramStart YearEnd YearSpatial CoverageScope
    (1)(2)(3)(4)
    Rajalakshmi1992a2000Rajasthanbirth
    Girl Child Protection Scheme1992Tamil Nadubirth, education
    Apni Beti Apna Dhan19941998Haryanabirth, education, marriage
    Kunwarbainu Mameru Yojana1995Gujaratmarriage
    Girl Child Protection Scheme1996Andhra Pradeshbirth, immunization, education, marriage
    Kanya Jagriti Jyoti Scheme1996Punjabbirth
    Balika Samriddhi Yojana19972006Nationalbbirth, education, marriage
    Devi Rupak2002Haryanabirth
    Balri Rakshak Yojana20052014Punjabbirth
    Ladli Scheme2005Haryanabirth, immunization, education
    Bhagyalakshmi2006Karnatakabirth, immunization, education, marriage
    Mukhya Mantri Kanyadan Yojana2006Madhya Pradeshmarriage
    Ladli Lakshmi Yojana2007Madhya Pradeshbirth, education, marriage
    Indira Gandhi Balika Suraksha Yojana2007Himachal Pradeshbirth
    Dhanlakshmi Scheme20082013Nationalcbirth, immunization, education, marriage
    Mukhya Mantri Kanya Vivah Yojana2008Biharmarriage
    Mukhya Mantri Kanya Suraksha Yojana2008Biharbirth
    Ladli2008Delhibirth, education
    Majoni2009Assambirth
    Beti Hai Anmol2010Himachal Pradeshbirth, education, marriage
    Mamta2011Goabirth, immunization, education
    • ↵a Revised in 1996–1998; 1999.

    • ↵b Continued in Gujarat; continued in Himachal Pradesh until 2010.

    • ↵c Eleven blocks in seven states (Punjab, Uttar Pradesh, Andhra Pradesh, Bihar, Jharkhand, Chhattisgarh, Odisha).

    • View popup
    Table 2

    Overview of Girl Child CCT Programs

    Girl CCT ProgramIncome RestrictionGirls per FamilyFertility RestrictionMaximum Number of Children
    (1)(2)(3)(4)
    Rajalakshmi—a2sterilization2
    Girl Child Protection SchemeBPL2sterilization2 (1 or 2 girls)
    Apni Beti Apna DhanBPLb3—girl is of parity 1, 2 or 3
    Kunwarbainu Mameru YojanaRs.21,206c1——
    Girl Child Protection SchemeRs.24,000d2family planning operation2e(1 girl family or 2-girl family)
    Kanya Jagriti Jyoti SchemeBPL2terminal planning method2
    Balika Samriddhi YojanaBPL2——
    Devi RupakNon-taxpayers1sterilization2 (1 child or 2 girl family)
    Balri Rakshak Yojana—2sterilization2
    Ladli Scheme—1f——
    BhagyalakshmiBPL2sterilization3
    Mukhya Mantri Kanyadan Yojanaecon. backward———
    Ladli Lakshmi YojanaNontaxpayers2gsterilizationh2
    Indira Gandhi Balika Suraksha Yojana—2sterilization2 (1 girl or 2 girl family)
    Dhanlakshmi Scheme————
    Mukhya Mantri Kanya Vivah YojanaRs.60,000—i——
    Mukhya Mantri Kanya Suraksha YojanaBPL2——
    LadliRs.100,000/year2——
    Majoni2—2 (1 or 2 girls)
    Beti Hai AnmolBPL2——
    Mamta—2——
    • ↵a In some years, different payout amounts for Scheduled Castes/Scheduled Tribes (SC/ST).

    • ↵b Or SC or Other Backward Classes (OBC) if nontaxpayer.

    • ↵c Rs.21,206 for urban areas, Rs.15,976 for rural areas.

    • ↵d Rs.24,000 in urban areas, Rs.20,000 in rural areas.

    • ↵e No restriction, but families with one girl younger than three given first priority; second priority for families with two children where second girl is three or younger.

    • ↵f Only second girl child is eligible (immediate coverage with twin girls).

    • ↵g Three if all-girl triplets.

    • ↵h Since 2008 does not apply to first girl, but required for second girl.

    • ↵i No restriction in principle, but program severely supply constrained.

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    Table 3

    Dhanlakshmi Payouts with Conditions for Each Milestone

    ConditionsPayout
    (Indian Rupees)
    Girls born after Nov. 19, 2008, with birth registered5,000
    Immunization
    Within first 6 weeks200
    Between 6–14 weeks200
    Between 4–9 months200
    Between 9–16 months200
    Between 16–24 months200
    On completion of immunization250
    Education
    On enrollment in primary school1,000
    1st grade + attendance500
    2nd grade + attendance500
    3rd grade + attendance500
    4th grade + attendance500
    5th grade + attendance500
    On enrollment in Middle school1,500
    6th grade + attendance750
    7th grade + attendance750
    8th grade + attendance750
    Marriage
    18 years old and unmarried100,000
    • Notes: The terminal benefit is paid through an insurance maturity cover initiated at the time of birth.

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    Table 4

    Summary Statistics for Birth and Fertility Samples, Punjab

    DLHS 07/08 and 12/13DLHS 12/13 and NFHS 15/16
    Fatehgarh SahibControlFatehgarh SahibControl
    PrePostPrePostPrePostPrePost
    isgirl0.4560.5010.4510.4520.4950.4830.4510.469
    isbirth0.2870.2800.2980.2860.3520.3730.3590.390
    Mother’s age26.14827.75226.60027.06527.54127.98726.68226.810
    (3.715)(4.185)(4.082)(4.349)(4.231)(4.195)(4.319)(4.338)
    Mothers educated below primary0.0320.0090.0420.0240.0110.0000.0240.000
    Mothers with primary education0.3840.3170.4020.3520.3060.1200.3560.142
    Mothers educated beyond primary0.5830.6650.5540.6190.6720.8800.6160.858
    Share of Hindus0.2360.2480.3530.3790.2500.2750.3720.354
    Share of Muslims0.0280.0270.0140.0180.0190.0000.0200.019
    Share of Christians0.0050.0060.0070.0070.0040.0000.0070.010
    Share of Sikhs0.7310.7160.6210.5940.7240.7250.5990.615
    Share of low caste0.3980.4590.3220.4030.4630.4720.4190.431
    Share of backward tribes0.0090.0030.0030.0240.0040.0000.0250.001
    Share of rural households0.6990.6620.6960.5990.6600.5790.6070.637
    Share of Kaccha houses0.0140.0240.0200.0300.0300.0000.0330.001
    Share of Pucca houses0.7820.7580.7360.6630.7800.8670.6560.827
    No. of mothers1802233,0413,257268863,9821766
    No. of live births2483714,5245,535283874,2851827
    • Notes: Kaccha and Pucca houses refer to unengineered and engineered dwelling-place construction. In the left panel, pre and post refer to the periods 2004–2007 and 2009–2012. In the right panel, pre and post refer to the periods 2010–2012 and 2014–2016.

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    Table 5

    Effects of Dhanlakshmi on Girl Births and Fertility

    DLHS 2007/08 and 12/13Census
    PunjabNoneNo ChangesNorthwestPunjabPunjab
    (1)(2)(3)(4)(5)(6)
    Panel A: Girl Births
    DL × Post0.0450.0550.0470.0540.0500.0062
    CR(0.000)(0.000)(0.000)(0.000)(0.000)(0.000)
    Wild R(0.146)(0.099)(0.066)(0.178)(0.487)
    Wild U(0.114)(0.051)(0.020)(0.113)(0.000)
    District FEXXXX
    Year FEXXXX
    ControlsXXXXX
    Observations10,67810,67866,86151,78326,217144
    R20.0000.0080.0010.0020.0050.860
    Panel B: Fertility
    DL × Post0.0050.0090.0030.0060.008–1,605.7226
    CR(0.065)(0.003)(0.029)(0.000)(0.001)(0.127)
    Wild R(0.672)(0.265)(0.519)(0.286)(0.436)(0.502)
    Wild U(0.660)(0.248)(0.513)(0.279)(0.406)(0.229)
    District FEXXXX
    Year FEXXXX
    ControlsXXXXX
    Observations36,76836,768228,656172,36087,744144
    R20.0000.0060.0040.0040.0060.233
    • Notes: DLHS samples. Outcome variables are isgirl (Panel A) and isbirth (Panel B). DID estimates compare the change in each outcome between 2004–2007 and 2009–2012 in Fatehgarh Sahib with the corresponding changes in the control districts. Controls: child’s birth order, mother’s age and education, household’s caste, religion, location (rural or urban), and an indicator of dwelling construction type (wealth proxy). Alternative control groups comprise states that were surveyed in 2012/13 and, respectively, had no girl-child CCT operating during the period (“None”), had a girl-child CCT but the status of the CCT did not change (“No Changes”), and are culturally similar to Punjab (“Northwest”). The Punjab sample includes 6,701 mothers; the None sample, 42,114; the No Changes sample, 31,320; and the Northwest sample, 16,146. p-values in parentheses. Census sample. The outcome variables are share of girls in the zero-to-six–year-old population (Panel A) and the size of the zero-to-six population (Panel B). The DID estimates compare the change in each outcome between 2001 and 2011 in Sirhind with the corresponding changes in the other blocks in Punjab. The controls are male and female literacy rates, labor force participation by gender, rural population share, and scheduled caste or tribe share, and block fixed effects. The treated area is the Sirhind block and the treatment period is 2011. p-values in parentheses.

    • View popup
    Table 6

    Dhanlakshmi Effects on Girl Births and Fertility by Birth Order and Urban/Rural Residency, DLHS 2007/08 and 2012/13

    isgirlisgirlisbirth
    (1)(2)(3)
    DL × post0.043DL × post0.0740.010
    (0.006)(0.000)(0.001)
    DL × post × bo = 20.058DL × post × urban−0.066−0.007
    (0.015)(0.024)(0.072)
    DL × post × bo > 2−0.054
    (0.122)
    District FEXXX
    Year FEXXX
    ControlsXXX
    Observations10,67810,67836,768
    R20.0080.0080.006
    • Notes: The DID estimates compare the change in each outcome between the periods 2004–2007 and 2009–2012 in Fatehgarh Sahib with the corresponding changes in the other Punjabi districts. The controls are the child’s birth order, mother’s age and education, household’s caste, religion, location (rural or urban), and an indicator of dwelling construction type (wealth proxy). The treated area is Fatehgarh Sahib and the treatment period is 2009–2012. The sample includes 6,701 mothers in Punjab. p-values based on CR standard errors in parentheses.

    • View popup
    Table 7

    Dhanlakshmi Effects on Son Preference, DLHS 2007/08 and 2012/13

    PunjabPunjabNoneNo ChangesNorthwest
    (1)(2)(3)(4)(5)
    Panel A: Overall Son Preference
    DL × Post−0.0329−0.0539−0.0138−0.04020.0206
    (0.0903)(0.0036)(0.0589)(0.0008)(0.2182)
    District FEXXXX
    ControlsXXXX
    Observations3,0203,02024,40414,9457,099
    R20.0003990.4360.3220.3360.402
    Panel B: Son Preference by Gender of Older Sibling
    DL × Post × hasdaughter0.03540.0195−0.0171−0.01920.0510
    (0.2360)(0.5586)(0.3590)(0.3133)(0.0461)
    DL × Post−0.0554−0.05920.0003−0.0244−0.0056
    (0.0044)(0.0072)(0.9709)(0.0030)(0.6757)
    hasdaughter0.72170.89440.77310.82850.8636
    (0.0000)(0.0000)(0.0000)(0.0000)(0.0000)
    District FEXXXX
    ControlsXXXX
    Observations3,0203,02024,40414,9457,099
    R20.4180.4380.3240.3380.407
    • Notes: DLHS sample of mothers who responded to the fertility survey. The outcome variable is a binary indicator for whether a mother desired a son at the next birth. The controls are the number of daughters from previous births, mother’s age, education, religion, caste, and a proxy for household wealth. p-values based on CR standard errors in parentheses.

    • View popup
    Table 8

    Post-Program Effects of Dhanlakshmi on Girl Births and Fertility, DLHS 12/13 and NFHS 15/16

    isgirlisgirlisgirlisbirthisbirth
    (1)(2)(3)(4)(5)
    DL × Post−0.0304−0.02720.0733−0.0104−0.0151
    (0.029)(0.126)(0.011)(0.001)(0.001)
    DL × Post × bo = 2−0.259
    (0.000)
    DL × Post × bo > 2−0.00486
    (0.932)
    District FEXXX
    Year FEXXX
    ControlsXXX
    Observations6,4826,4826,48217,66917,669
    R20.0005530.01600.01740.0007450.0669
    • Notes: The DID estimates compare the change in each outcome between the periods 2010–2012 and 2014–2016 in Fatehgarh Sahib with the corresponding changes in the control districts. The controls are the child’s birth order, mother’s age and education, household’s caste, religion, location (rural or urban), and an indicator of dwelling construction type (wealth proxy). The treated area is Fatehgarh Sahib and the treatment period is 2014–2016. The sample includes 6,102 mothers in Punjab. p-values based on CR standard errors in parentheses.

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    Table 9

    Dhanlakshmi Effects on Immunization, Survival and School Attendance, DLHS 2007/08 2012/13 and NHFS 2015/16

    Imm 1Imm 2Imm 3Breastfeedingisgirl5isn
    (1)(2)(3)(4)(5)(6)
    DL × post0.07130.05020.05080.0240.0450.040
    (0.0117)(0.0448)(0.0425)(0.051)(0.000)(0.000)
    District FEXXXXXX
    Interview year FEXXXXXX
    ControlsXXXXXX
    Observations2,6652,6652,6652,8449,8144,427
    R20.0460.0490.0500.0280.0030.115
    • Notes: DLHS 07/08 & 12/13 sample in Columns 1–4 include girls aged two years or older in Punjab. Outcome variables Imm 1 – 3 are binary indicators for the recorded vaccine doses. Imm 1 covers BCG and DPT 1; Imm 2 adds DPT 2–3 and Polio 1–3 to the earlier doses; Imm 3 includes all previous doses and the Measles vaccine. Outcome variable breastfeeding is a binary indicator for whether the child was breastfed within three days after birth. DID estimates compare the change in girls’ immunization and breastfeeding between 2004–2006 and 2009–2011 in Fatehgarh Sahib district with the corresponding changes in the control districts. Controls: child’s birth order, mother’s age and education, household’s caste, religion, location and an indicator of dwelling construction type (wealth proxy). p-values based on CR standard errors in parentheses. DLHS 2012/13 and NFHS 2015/16 sample in Columns 5 and 6 comprise all five-to-seven–year-olds in the surveyed households. isgirl5 is the share of girls in the selected age group and isn is a binary indicator for whether a girl belonging to this age cohort is currently attending school. DID estimates compare the change in outcomes for birth cohorts between 2000–2002 and 2009–2011 in Fatehgarh Sahib district with the corresponding changes in the control districts. Controls: child’s age, household head’s education, caste, religion, location, and an indicator of household wealth. p-values based on CR standard errors in parentheses.

    • View popup
    Table 10

    Dhanlakshmi Effects on the Education Outcomes of Older Girls, DLHS 2012/13 and NFHS 2015/16

    isnyos
    (1)(2)
    DL × post−0.01060.345
    (0.280)(0.000)
    District FEXX
    Interview year FEXX
    ControlsXX
    Observations9,1919,191
    R20.0990.552
    • Notes: DLHS 07/08 and NFHS 15/16 sample comprise 8–14–year-old girls in the surveyed households. isn is a binary indicator for whether a girl belonging to this age cohort is currently attending school and yos is grades completed. DID estimates compare the change in outcomes for birth cohorts between 1994–1999 and 2002–2007 in Fatehgarh Sahib district with the corresponding changes in the control districts. Controls: child’s age, household head’s education, caste, religion, location, and an indicator of household wealth. p-values based on CR standard errors in parentheses.

    • View popup
    Table 11

    Dhanlakshmi Effects on Prenatal and Pregnancy Outcomes, DLHS 2007/08 and 2012/2013

    DL × PostP-ValueNR2
    (1)(2)(3)(4)
    No. of days ifa tablets taken8.416(0.039)4,5620.0989
    Received tetanus injection0.137(0.000)6,7010.0430
    Swelling of hands, feet and face−0.0526(0.003)6,6510.011
    Paleness/giddiness/weakness−0.0757(0.003)6,6510.0525
    Visual disturbances−0.0327(0.016)6,6510.0183
    Excessive fatigue−0.131(0.000)6,6510.040
    Convulsions not from fever0.0696(0.000)6,6510.0203
    Weak or no movement of fetus−0.0405(0.000)6,6510.0122
    Abnormal fetal position−0.0503(0.000)6,6510.0115
    Malaria0.00239(0.565)6,6510.0104
    Excessive vomiting−0.0146(0.375)6,6510.0235
    Hypertension/high bp−0.0805(0.000)6,6510.0108
    Jaundice−0.0229(0.000)6,6510.00612
    Excessive bleeding−0.00242(0.582)6,6510.00823
    Vaginal discharge−0.0167(0.001)6,6510.0121
    • Notes: DLHS sample of mothers (6,701) who responded to the prenatal care questionnaire. The outcome variable is a binary indicator for whether a mother received antenatal care or reported having a problem at her most recent pregnancy. DID estimates compare the change in each outcome during 2004–2007 and 2009–2012 in Fatehgarh Sahib with the corresponding changes in the control districts. Added controls include mother’s age and education, household’s caste, religion, location (rural or urban), and an indicator of dwelling construction type (wealth proxy). p-values based on CR standard errors in parentheses.

    • View popup
    Table 12

    Program Effect on Delivery and Post-Delivery Care, DLHS 2007/08 and 2012/13

    DL × PostP-ValueNR2
    (1)(2)(3)(4)
    Had a normal delivery−0.0250(0.175)6,6190.0357
    Delivered at a medical facility−0.0712(0.000)6,6200.138
    Premature labor−0.128(0.000)6,6510.0442
    Excessive bleeding−0.0671(0.000)6,6510.0129
    Prolonged labor−0.111(0.000)6,6510.0403
    Obstructed labor−0.0332(0.110)6,6510.135
    Breech presentation−0.0227(0.011)6,6510.0162
    Convulsion/high bp−0.0293(0.000)6,6510.00787
    High fever0.0709(0.000)6,6510.0200
    Lower abdomen pain−0.0844(0.000)6,6510.0364
    Vaginal discharge−0.00615(0.170)6,6510.00841
    Excess bleeding0.00180(0.845)6,6510.0147
    Convulsion−0.0190(0.000)6,6510.00817
    Severe headache−0.0601(0.000)6,6510.0122
    • Notes: DLHS sample of mothers (6,701) who responded to the delivery and postnatal care questionnaire. The outcome variable is a binary indicator for whether a mother experienced problems with childbirth at her most recent pregnancy. DID estimates compare the change in each outcome during 2004–2007 and 2009–2012 in Fatehgarh Sahib with the corresponding changes in the control districts. Added controls include mother’s age and education, household’s caste, religion, location (rural or urban), and an indicator of dwelling construction type (wealth proxy). p-values based on CR standard errors in parentheses.

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The Power of Lakshmi
Nabaneeta Biswas, Christopher Cornwell, Laura V. Zimmermann
Journal of Human Resources Jul 2025, 60 (4) 1253-1283; DOI: 10.3368/jhr.1021-11963R2

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Nabaneeta Biswas, Christopher Cornwell, Laura V. Zimmermann
Journal of Human Resources Jul 2025, 60 (4) 1253-1283; DOI: 10.3368/jhr.1021-11963R2
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  • Article
    • Abstract
    • I. Introduction
    • II. The Dhanlakshmi Scheme
    • III. Research Design
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