A Comparative Analysis Of The Economic Impact Of Mgnrega On Beneficiaries In Mizoram Prior To And During Pandemic

Abstract

This study explores the economic impact of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) on the beneficiaries in Mizoram, with a particular focus on income, working days, expenditure, and savings before and during the COVID-19 pandemic. MGNREGA, a flagship social security program introduced by the Indian government in 2005, aims to provide 100 days of guaranteed wage employment to rural households, thereby addressing poverty and unemployment. In Mizoram, a state characterized by a predominantly rural population and limited industrial activity, the program has played a critical role in stabilizing the local economy and providing livelihood security to marginalized communities. The study employs paired t-tests to analyze the differences in the key economic indicators before and during the pandemic. The findings indicated that the onset of the pandemic resulted in a moderate decline in the income level and the number of working days, with an eta squared value of 0.6 for each variable, reflecting the adverse impact of COVID-19 on rural livelihoods. In addition, the household expenditure witnessed an impressive increase during the pandemic, as shown by an eta squared value of 0.9, suggesting that MGNREGA provided a vital source of financial support during economic hardships. However, the level of savings remained relatively unchanged, with an eta squared value of 0.2.