Indirect Effects of an Aid Program: How Do Cash Transfers Affect Ineligibles' Consumption?
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In this article, the authors analyze the effects of cash transfers to eligible households on the entire local economy, rather than on the treated only, and use a village-level randomization, instead than selecting treatment and control subjects from the same community.Abstract:
Cash transfers to eligible households indirectly increase the consumption of ineligible households living in the same villages. This effect operates through insurance and credit markets: ineligible households benefit from the transfers by receiving more gifts and loans and by reducing their savings. Thus, the transfers benefit the local economy at large; looking only at the effect on the treated underestimates the impact. One should analyze the effects of this class of programs on the entire local economy, rather than on the treated only, and use a village-level randomization, rather than selecting treatment and control subjects from the same community.read more
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References
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The Economics and Econometrics of Active Labor Market Programs
TL;DR: In this paper, the authors examine the impacts of active labor market policies, such as job training, job search assistance, and job subsidies, and the methods used to evaluate their effectiveness.
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Worms: Identifying Impacts on Education and Health in the Presence of Treatment Externalities
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TL;DR: In this article, the authors evaluate a Kenyan project in which school-based mass treatment with deworming drugs was randomly phased into schools, rather than to individuals, allowing estimation of overall program effects.
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Risk and Insurance In Village India
TL;DR: In this paper, the authors tested the full insurance model using data from three poor, high risk villages in the semi-arid tropics of southern India and found that household consumptions are not much influenced by contemporaneous own income, sickness, unemployment, or other idiosyncratic shocks.