Myth-busting? Confronting Six Common Perceptions about Unconditional Cash Transfers as a Poverty Reduction Strategy in Africa

Myth-busting? Confronting Six Common Perceptions about Unconditional Cash Transfers as a Poverty Reduction Strategy in Africa

AUTHOR(S)
Sudhanshu Handa; Silvio Daidone; Amber Peterman; Benjamin Davis; Audrey Pereira; Tia Palermo; Jennifer Yablonski

Published: 2017 Innocenti Working Papers

 

In this paper we summarize evidence on six perceptions associated with cash transfer programming, using eight rigorous evaluations conducted on large-scale government unconditional cash transfers in sub-Saharan Africa, under the Transfer Project. Specifically, we investigate if transfers: 1) induce higher spending on alcohol or tobacco; 2) are fully consumed (rather than invested); 3) create dependency (reduce participation in productive activities); 4) increase fertility; 5) lead to negative community-level economic impacts (including price distortion and inflation), and 6) are fiscally unsustainable. We present evidence refuting each claim, leading to the conclusion that these perceptions – insofar as they are utilized in policy debates – undercut potential improvements in well-being and livelihood strengthening among the poor, which these programmes can bring about in sub-Saharan Africa, and globally. We conclude by underscoring outstanding research gaps and policy implications for the continued expansion of unconditional cash transfers in the region and beyond.

 

Cite this publication | No. of pages: 40 | Thematic area: Social Policies | Tags: africa, cash transfers, social safety nets
Child Malnutrition, Consumption Growth, Maternal Care and Price Shocks: New Evidence from Northern Ghana

Child Malnutrition, Consumption Growth, Maternal Care and Price Shocks: New Evidence from Northern Ghana

AUTHOR(S)
Richard de Groot; Sudhanshu Handa; Luigi Peter Ragno; Tayllor Spadafora

Published: 2017 Innocenti Working Papers

Childhood malnutrition remains a significant global health concern. In order to implement effective policies to address the issue, it is crucial to first understand the mechanisms underlying malnutrition. This paper uses a unique dataset from Northern Ghana to explain the underlying causes of childhood malnutrition. It adopts an empirical framework to model inputs in the production of health and nutrition, as a function of child, household and community characteristics. The findings suggest that child characteristics are important in explaining inputs and nutritional outcomes, and that maternal agency and health contribute to improved health status. Household resources in the form of consumption are positively associated with food intake and nutritional outcomes. Simulations show that income growth, improving maternal care and avoiding sudden price shocks have a positive but rather limited effect on the reduction of malnutrition. Effects are greater in children under two. Hence, policies that address underlying determinants simultaneously, and target the youngest population of children, could have the largest effect on reducing malnutrition in this population.

Unconditional Government Social Cash Transfers in Africa Do Not Increase Fertility: Issue Brief

Unconditional Government Social Cash Transfers in Africa Do Not Increase Fertility: Issue Brief

AUTHOR(S)
Tia Palermo; Lisa Hjelm

Published: 2016 Innocenti Research Briefs

A common perception surrounding the design and implementation of social cash transfers is that those targeted to families with young children will incentivize families to have more children. To date, however, research on unconditional cash transfer programmes in Africa (including Kenya, Malawi, South Africa and Zambia) have demonstrated no impacts of cash transfer programmes on increased fertility. Examples are given of how some design features capable of minimizing the fertility incentive can be built into programmes.

Does Market Access Mitigate the Impact of Seasonality on Child Growth? Panel data evidence from northern Ethiopia

Does Market Access Mitigate the Impact of Seasonality on Child Growth? Panel data evidence from northern Ethiopia

AUTHOR(S)
Kibrewossen Abay; Kalle Hirvonen

Published: 2016 Innocenti Working Papers

Seasonality in agricultural production continues to shape intra-annual food availability and prices in low-income countries. Using high-frequency panel data from northern Ethiopia, this study attempts to quantify seasonal fluctuations in children's weights. In line with earlier studies, we document considerable seasonality in children’s age and height adjusted weights. While children located closer to local food markets are better nourished compared to their counterparts residing in more remote areas, their weights are also subject to considerable seasonality. Further analysis provides evidence that children located closer to food markets consume more diverse diets than those located farther away. This leads us to conclude that households located near these food markets are not able to insulate their children from seasonal weight fluctuations.

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