Effects Of Cash Transfers Research Articles

Shifting the focus? From individual to collective‐level effects of cash transfers: A systematic review of the impacts on social capital

AbstractContrary to the individual and household levels, analysis on the collective‐level effects of cash transfers (CTs) is largely lacking. To fill such gap, this paper conducted a systematic review of the evidence around CT impacts on social capital. Available studies suggest that CTs can stimulate bonding social capital (social participation, membership of organizations), while often generate issues like rising inter‐group tensions and social exclusion (bridging social capital). Overall, however, the existing evidence is scarce. The article invites CT‐implementing agencies to design interventions in accordance with the envisaged impacts—not only at the individual but also at the collective level.

Long-Term Effects of Preschool Subsidies and Cash Transfers on Child Development: Evidence from Uganda

Shortly before the onset of the Covid-19 pandemic, three-to-five-year-old children in Uganda were randomly offered a subsidy to attend full-day preschool for one year. A second treatment group received cash transfers that were at least as large as the cost of the preschool subsidy provided, while a third group received both. Children who attended preschool prior to the pandemic have better anthropometric outcomes three years later. We do not find persistent effects on their learning outcomes. Effects of cash transfers on child development are similar to those of the preschool subsidy.

The effects of cash transfers on adult and child mortality in low- and middle-income countries.

Poverty is an important social determinant of health that is associated with increased risk of death1-5. Cash transfer programmes provide non-contributory monetary transfers to individuals or households, with or without behavioural conditions such as children's school attendance6,7. Over recent decades, cash transfer programmes have emerged as central components of poverty reduction strategies of many governments in low- and middle-income countries6,7. The effects of these programmes on adult and child mortality rates remains an important gap in the literature, however, with existing evidence limited to a few specific conditional cash transfer programmes, primarily in Latin America8-14. Here we evaluated the effects of large-scale, government-led cash transfer programmes on all-cause adult and child mortality using individual-level longitudinal mortality datasets from many low- and middle-income countries. We found that cash transfer programmes were associated with significant reductions in mortality among children under five years of age and women. Secondary heterogeneity analyses suggested similar effects for conditional and unconditional programmes, and larger effects for programmes that covered a larger share of the population and provided larger transfer amounts, and in countries with lower health expenditures, lower baseline life expectancy, and higher perceived regulatory quality. Our findings support the use of anti-poverty programmes such as cash transfers, which many countries have introduced or expanded during the COVID-19 pandemic, to improve population health.

Cash transfers versus food subsidies during COVID-19: dietary practices of rural women in Bihar, India

ABSTRACT This study examines the coverage and effect of cash transfers and food subsidies in India during the COVID-19 pandemic. It is based on a primary survey of rural women in the state of Bihar – an underdeveloped state with poor public delivery systems – undertaken in January–March and September–November 2020. Although the coverage of cash transfers was wider than that of food subsidies, respondents receiving cereals and pulses under the Public Distribution System reported a lower probability of suffering from food insecurity vis-à-vis cash subsidies. The study suggests that food subsidies may be more effective when supply chains break down.

Effects of cash transfers on food expenditure patterns in northern Kenya

Effects of cash transfers on food expenditure patterns in northern Kenya

Effect of Cash Transfer on Food Demand in Lindi District, Tanzania

This study assessed the Cash Transfer (CT) effect on food demand and its implications on food security in Lindi District using Almost Ideal Demand Framework. The study employed the Instrumental Variable (IV) technique. To gather households’ information, a questionnaire was administered to 398 households, apportioned to two groups of beneficiaries and non-beneficiaries’ households using the ratio of 1:1. Five Focus Group Discussions (FGDs) and 14 Key Informants Interviews (KIIs) were conducted. Qualitative data were analysed using content analysis. Findings indicated that CT has effect on demand for roots and tubers, cereals and vegetables. Roots and tubers and cereals are staple foods in Lindi district, implying that, as the income rises, poor households demand for staple food together with its side dishes tend to increase. This increase on demand had no significant effect on reduction of food insecurity. Therefore, to further increase food demand and ultimately reduce food insecurity, the study recommends TASAF to increase the amount of money given to poor households and introduce food schemes that directly focused on tackling food insecurity.

International evidence to inform decision making on implementing urgent response social protection measures

ABSTRACT This paper summarises evidence from a rapid review of international findings on the effects of cash transfers. The learnings were used to inform the design of urgent response social protection during the COVID-19 pandemic. The summary demonstrates that in response to widespread disruption, cash transfers have broad benefits for children, adults, and the wider economy. First, cash grants for child support have been shown to reduce hunger, increase dietary diversity, and reduce secondary school dropout. Transfers may also reduce child malnutrition. Second, there is some evidence that cash grants could encourage job search and economic activity. By contrast, there is little evidence that grants discourage adults from working, or increase spending on temptation goods (alcohol, tobacco). Third, for the wider economy, there is little evidence that grants will increase inflation, while some studies find that transfers create a fiscal multiplier and stimulate the local economy. Finally, we review evidence on design considerations and find that unconditional cash transfers (UCTs) are particularly well suited to rapid response when compared to conditional cash transfers (CCTs). Outside crisis settings, there is some evidence that getting recipients to enrol children in school or attend health check-ups improves these outcomes more than unconditional grants. However, the differences are small and the additional costs of implementing conditions outweigh these benefits in circumstances where response is required urgently. Comparing evidence on cash grants and food vouchers suggests both achieve similar improvements in nutrition; however, cash transfers are likely to be more cost-effective for governments, especially where a system to distribute grants is already set up.

Role of cash transfers in mitigating food insecurity in India during the COVID-19 pandemic: a longitudinal study in the Bihar state

ObjectiveThere are scant empirical data on the impacts of the COVID-19 pandemic on food security across the globe. India is no exception, with insights into the impacts of lockdown on...

Impact of conditional and unconditional cash transfers on health outcomes and use of health services in humanitarian settings: a mixed-methods systematic review

BackgroundCash transfers, payments provided by formal or informal institutions to recipients, are increasingly used in emergencies. While increasing autonomy and being supportive of local economies, cash transfers are a cost-effective...

The Effect of Cash Transfers on Maternal Health Seeking: Evidence from Ecuador

The Effect of Cash Transfers on Maternal Health Seeking: Evidence from Ecuador

Cash Transfers and Child Nutrition: Evidence from sub-Saharan Africa

This paper summarises the arguments and counterarguments within the scientific discussion on cash transfers and child nutrition. The main purpose of the research is to assess the effectiveness of cash transfers in improving nutritional outcomes in vulnerable children in sub-Saharan Africa. Systematisation of the literary sources indicates that studies have justified cash transfer as social-income support that addresses a vital social determinant of health (income) for children in low-and-middle-income countries. The methodological basis of this study is a systematic review that searched a wide range of academic and grey literature databases, including PubMed, Cochrane Library and Google Scholar. This study included cluster-randomised controlled trials (R.C.T.s), randomised controlled trials, quasi-experimental studies, mixed-methods studies, and non-randomised cluster trials. Studies included in this systematic review were screened for their eligibility. The systematic review uses the Cochrane data collection form to extract data from the included studies. It was not feasible to statistically combine the results of the studies due to the heterogeneity of most of the studies. Preferably, the review employs a narrative synthesis to present the estimated effects of cash transfers on children’s nutritional outcomes. The systematic review presents the results of data synthesis, of which eleven studies met the inclusion criteria. Overall, the evidence from the systematic review indicates that cash transfer programmes targeted at children effectively improve anthropometric and nutritional outcomes. Further research is needed to spell out the multiple pathways to how cash transfers improve children’s nutritional outcomes. Moreover, this systematic review shows the importance of cash transfers in improving child nutrition. Policymakers should continue to employ institutional mechanisms to strengthen the nutritional status of children, especially the vulnerable ones since cash transfer intervention is a temporary measure.

The economic and psychological effects of cash transfers in development cooperation

Against the backdrop of increasing popularity as an instrument of international development cooperation, our paper examines the economic and psychological effects of cash transfers. At this moment, this paper specifically focuses on the reaction of local markets and the structural conditions for a successful implementation as well as the effects of cash-transfers on their recipients' self-esteem and on the self-actualisation of women in developing countries. While the data was collected via semi-standardised guideline interviews with experts, the interpretation was carried out in accordance with Philipp Mayring's qualitative content analysis. Our study finds that cash transfers seldomly cause inflationary effects while they particularly require functioning markets, existing value chains and fulfilment of governmental support functions for a successful implementation. While the impact of cash transfers on the psychological constructs in question is generally assessed positively by the interviewed experts, several implications and potential psychological downsides are addressed.

The Economic and Psychological Effects of Cash Transfers in Development Cooperation

The Economic and Psychological Effects of Cash Transfers in Development Cooperation

Optimizing the efficiency and implementation of cash transfers to improve adherence to antiretroviral therapy: study protocol for a cluster randomized controlled trial

BackgroundAntiretroviral therapy (ART) for HIV, taken daily, is an effective strategy to clinically suppress the virus, providing the dual benefit of improved survival and vastly decreasing the risk of transmission. However, this highly effective intervention has not yet reached all who could benefit. Cash transfers are increasingly recognized as an effective strategy to motivate behavior change and improve HIV care and treatment outcomes, including engagement in HIV care and adherence to ART. Despite a growing evidence base and strong theoretical foundation for the cash transfer approach, key questions remain. To address these questions and begin to bridge the “know-do gap” with respect to cash transfers, our team is employing an implementation science approach to iterative development of an incentive-based intervention to promote ART uptake and adherence among people living with HIV (PLHIV) in the Lake Zone region, Tanzania.MethodsWe will conduct a type I hybrid implementation–effectiveness trial to test the effectiveness of a cash transfer intervention on the outcome of HIV viral suppression, and concurrently examine the potential for real-world implementation with a mobile health technology (mHealth) system. Specifically, our team will expand the intervention to 32 clinics and enroll 1984 PLHIV to (a) evaluate its effectiveness by conducting a cluster randomized controlled trial with clinics as the unit of randomization and 12-month viral suppression as the primary outcome and (b) evaluate the implementation challenges and successes at multiple levels (patient, provider, clinic).DiscussionThis trial will provide evidence not only about the real-world effectiveness of cash transfers for retention in HIV care and viral suppression, but also on the implementation challenges and successes that will facilitate or hinder wider scale-up within Tanzania and beyond.Trial registrationClinicalTrials.gov NCT04201353. Registered on December 17, 2019

The effect of cash transfers on mental health: Opening the black box - A study from South Africa.

There is a gap in the literature in understanding how cash transfer programmes affect mental health. We aim to fill this gap by conceptualising and estimating the mediation effects of an unconditional cash transfer programme on mental health. We use a sample of 4,535 adults living below the South African poverty line in four waves (2008–2014) of the South African National Income Dynamics Study. We use information on individual exposure to South Africa's largest unconditional cash transfer programme, the Child Support Grant. Mental health is measured by the 10-item version of the Centre for Epidemiological Depression Scale. We use the product of the coefficient method for the mediation analysis in combination with instrumental variable estimation. We find that physical health and lifestyle factors mediate the relationship of the unconditional cash transfer programme, each explaining about eight percent and 16% of the total positive effect. Our findings show that individuals living in poverty make investment decisions that are positive for their mental health, which has strong implications for policy makers.

The effect of cash transfers from the PROSPERA programme (formerly Oportunidades) on poverty in urban households in Northeast Mexico

ABSTRACTThe paper presents the effects of Mexico’s conditioned cash-transfers programme (PROSPERA programme, formerly Oportunidades) on household poverty in the Northeast urban areas. The estimate was calculated using the Foster-Greer-Thorbecke Index. We use three poverty lines (i.e. food, capability, and patrimonial poverty) which costs were established by the National Assessment Council of the Social Development Policy. The results show that, in the three lines, the intensity and inequality of poverty diminished. Regarding incidence, only in extreme poverty was found a significant effect, so, there is no evidence to support that cash transfers help households to escape poverty.

The effect of cash transfers on mental health \u2013 new evidence from South Africa

BackgroundMental health and poverty are strongly interlinked. There is a gap in the literature on the effects of poverty alleviation programmes on mental health. We aim to fill this gap by studying the effect of an exogenous income shock generated by the Child Support Grant, South Africa’s largest Unconditional Cash Transfer (UCT) programme, on mental health.MethodsWe use biennial data on 10,925 individuals from the National Income Dynamics Study between 2008 and 2014. We exploit the programme’s eligibility criteria to estimate instrumental variable Fixed Effects models.ResultsWe find that receiving the Child Support Grant improves adult mental health by 0.822 points (on a 0–30 scale), 4.1% of the sample mean.ConclusionOur findings show that UCT programmes have strong mental health benefits for the poor adult population.

Community Experiences with Cash Transfers in Relation to Five SDGs: Exploring Evidence from Ghana’s Livelihood Empowerment Against Poverty (LEAP) Programme

Social protection, which includes cash transfers, is a policy response addressing poverty and vulnerability. This paper examines the effects of cash transfers, in particular Ghana’s LEAP Programme, on the Sustainable Development Goals (SDGs). The paper examines the transformative potential of cash transfers by focusing on subjective, relational and psychosocial effects in addition to the reduction in poverty and vulnerability. The paper argues that giving the LEAP cash alone is not sufficient to address long-term poverty, but it is a necessary condition to serve as an instrument for social and economic transformation. Using a qualitative exploratory research design involving 20 in-depth interviews and seven focus group discussions, participants reported that LEAP cash had made them better off in both material and psychological dimensions of poverty, increased food security and nutrition and removed financial barriers to access health care. The cash capacitated women in decision-making, and strengthened peaceful co-existence both at family and community level. However, the LEAP may engender intra-community tensions emanating from sentiments of jealousy and perceived unfairness in the selection of beneficiaries.

The effects of cash transfers on adult labor market outcomes

ᅟThe basic economic model of labor supply has a very clear prediction of what we should expect when an adult receives an unexpected cash windfall: they should work less and earn less. This intuition underlies concerns that many types of cash transfers, ranging from government benefits to migrant remittances, will undermine work ethics and make recipients lazy. We discuss a range of additional channels to this simple labor-leisure trade-off that can make this intuition misleading in low- and middle-income countries, including missing markets, price effects from conditions attached to transfers, and dynamic and general equilibrium effects. We use this as a lens through which to examine the evidence on the adult labor market impacts of a wide range of cash transfer programs: government transfers, charitable giving and humanitarian transfers, remittances, cash assistance for job search, cash transfers for business start-up, and bundled interventions. Overall, cash transfers that are made without an explicit employment focus (such as conditional and unconditional cash transfers, and remittances) tend to result in little to no change in adult labor. The main exceptions are transfers to the elderly and to some refugees, who reduce work. In contrast, transfers made for job search assistance or business start-up tend to increase adult labor supply and earnings, with the likely main channels being the alleviation of liquidity and risk constraints.JEL ClassificationO15, J22, I38, H23

Cash Transfers in Latin America: Effects on Poverty and Redistribution

We present comparative evidence for eight Latin American countries regarding the design and effects of cash transfers (CTs). On the basis of household survey data, we analyze their coverage, importance in household income, and effects on poverty reduction and income redistribution. We present a static microsimulation to analyze the potential impacts of alternative pro- gram designs, including perfect targeting and higher budgets. Our results illustrate wide variation in terms of design, coverage, and importance in household income. CTs account for a significant portion of household income in lower deciles. Nonetheless, their effects in terms of reducing the incidence, intensity, and severity of poverty are moderate at best, and although their progressivity is high, their redistributive impact is limited. These results are mainly explained by the meager resources involved. Even under perfect targeting, the budgets allocated would be insufficient to achieve full coverage among households in the lowest part of the income distribution.