Caste Inequality in Medical Crowdfunding in India

Publication: Journal of Development Studies 

Synopsis: 

Medical crowdfunding has become an increasingly important tool for individuals and families seeking access to funds for emergency medical treatments. While the growth of crowdfunding in India has been well documented, we do not yet understand the equity impacts of this emerging technology. Could crowdfunding democratize access to funds and provide assistance to those with the greatest need, or does crowdfunding reproduce existing societal inequalities in the Indian context? 

Using a rich dataset from a popular crowdfunding website in India, the author provides the first empirical evidence of caste-based inequality in medical crowdfunding in India. The paper’s methodology utilises administrative data to deduce caste from the recipient’s surname. Campaigns by individuals from marginalized caste groups tend to garner lower funds compared to those from other caste groups, largely due to lower average donations. Furthermore, individuals from Scheduled Castes and Scheduled Tribes (marginalised groups in India) initiate disproportionately fewer campaigns than dominant castes. The paper’s findings remain robust across various performance metrics and alternative model specifications, even after adjusting for multiple campaign features and recipient locations. 

The findings align with research in the United States that has documented racial disparities in the performance of crowdfunding campaigns (campaigns initiated by Black individuals raise fewer funds than those started by White individuals). The study also builds on the emerging literature that has documented how emerging technologies (such as large language models for instance) can exacerbate societal disparities. In summary, the study highlights how crowdfunding on for-profit platforms may increase existing caste-related health disparities in India by disproportionately favouring privileged groups.