Commitment Mechanisms and Compliance with Health-Protecting Behavior: Preliminary Evidence from Orissa, India by Alessandro Tarozzi, Aprajit Mahajan, Joanne Yoong and Brian Blackburn. Published in volume 99, issue 2, pages 231-35 of American Economic Review, May 2009

We describe findings from the first large-scale cluster randomized controlled trial in a developing country that evaluates the uptake of a health-protecting technology, insecticide-treated bednets (ITNs), through micro-consumer loans, as compared to free distribution and control conditions. Despite a relatively high price, 52 percent of sample households purchased ITNs, highlighting the role of liquidity constraints in explaining earlier low adoption rates. We find mixed evidence of improvements in malaria indices. We interpret the results and their implications within the debate about cost sharing, sustainability and liquidity constraints in public health initiatives in developing countries.