Table 7.
Estimated Impacts of Treatment on Business Outcomes at Endline
| Business outcomes, summing over the previous year (in rupees): | ||||||
|---|---|---|---|---|---|---|
| Owns business | Spent on assets | Spent on workers | Total sales | Total profits | Index of (2)–(5) | |
| (1) | (2) | (3) | (4) | (5) | (6) | |
| Panel A: Full sample | ||||||
| Treatment | 0.008 (0.014) |
−278 (171) |
−333** (159) |
−1359 (1258) |
−783 (701) |
−0.038* (0.020) |
| Control group mean | 0.177 | 437 | 507 | 12,142 | 6120 | 0 |
| Number of clients | 5353 | 5353 | 5353 | 5353 | 5353 | 5353 |
| Hochberg p-value | 0.191 | |||||
| Panel B: Business owners at baseline | ||||||
| Treatment | 0.006 (0.025) |
−308 (192) |
−537* (311) |
−2554 (2335) |
−1470 (1269) |
−0.050* (0.028) |
| Control group mean | 0.316 | 503 | 973 | 21,681 | 11030 | 0 |
| Number of clients | 2149 | 2149 | 2149 | 2149 | 2149 | 2149 |
| Hochberg p-value | 0.213 | |||||
| Panel C: Business owners at baseline, business started before SKS entry | ||||||
| Treatment | −0.008 (0.028) |
−408** (204) |
−658* (373) |
−3706 (2777) |
−1963 (1528) |
−0.063** (0.031) |
| Control group mean | 0.335 | 532 | 1141 | 23,599 | 11709 | 0 |
| Number of clients | 1715 | 1715 | 1715 | 1715 | 1715 | 1715 |
| Hochberg p-value | 0.134 | |||||
| Panel D: Business owners at baseline, business started after SKS entry | ||||||
| Treatment | 0.065 (0.041) |
191 (399) |
−66 (197) |
1707 (3038) |
−282 (1721) |
0.018 (0.060) |
| Control group mean | 0.222 | 410 | 234 | 12,860 | 7951 | 0 |
| Number of clients | 392 | 392 | 392 | 392 | 392 | 392 |
| Hochberg p-value | 0.760 | |||||
| Panel E: Non business owners at baseline | ||||||
| Treatment | −0.003 (0.012) |
−231 (249) |
−187* (102) |
−1111 (892) |
−677 (435) |
−0.045* (0.024) |
| Control group mean | 0.094 | 410 | 217 | 5788 | 2981 | 0 |
| Number of clients | 3071 | 3071 | 3071 | 3071 | 3071 | 3071 |
| Hochberg p-value | 0.174 | |||||
Notes
Each column reports the estimated impact of treatment (imposing the insurance requirement) on the indicated outcome variable from the endline survey. Panel B limits the sample to business owners at baseline, panel C restricts the sample to business owners at baseline whose businesses started before the entry of SKS in the business owner’s village (using the date of the first loan as reported in the administrative data), panel D restricts the sample to business owners at baseline whose business started after the entry of SKS, and panel E restricts the sample to non business owners at baseline. The outcome variables are: whether the household earns money from owning a business at endline (column (1)); total amount spent on business assets, over the previous year (column (2)); total amount spent on hiring labour for the business, over the previous year (column (3)); total sales over the previous year (column (4)); and a direct measure of self-reported total profits over the previous year (column (5)). When there is no business reported at endline (in panels A and B), zero values are assigned for the outcome variables in columns (2)–(5). In column (6), the outcome variable is an index reflecting the equal-weighted average of the component variables in columns (2)–(5) (each normalized to have mean 0 and standard deviation 1). All regressions control for the randomization stratification groups (SKS branch and above/below median number of clients within branch), and robust standard errors clustered by village are reported in parentheses.
The Hochberg p-value reflects the statistical significance of the treatment effect on the index, adjusting for multiple hypothesis testing across the three summary outcomes (business, consumption, social impacts) in Tables 7, 9 and 11.
denote statistical significance at the 1%, 5%, 10% level, respectively.