Home > Publications . Search All . Browse All . Country . Browse PSC Pubs . PSC Report Series

PSC In The News

RSS Feed icon

Murphy on extending health support via a smart phone and JITAI

New analysis counters Shaefer's finding that households living on $2/day/person rose post welfare reform

Former trainee Herbert says residential squatters may be a good thing

More News

Highlights

Michigan ranked #12 on Business Insider's list of 50 best American colleges

Frey's new report explores how the changing US electorate could shape the next 5 presidential elections, 2016 to 2032

U-M's Data Science Initiative offers expanded consulting services via CSCAR

Elizabeth Bruch promoted to Associate Professor

Next Brown Bag

PSC Brown Bags
will resume fall 2016

Manuela Angelucci photo

Indirect Effects of an Aid Program: How Do Cash Transfers Affect Ineligibles' Consumption?

Publication Abstract

Angelucci, Manuela, and Giacomo De Giorgi. 2009. "Indirect Effects of an Aid Program: How Do Cash Transfers Affect Ineligibles' Consumption?" American Economic Review, 99(7): 486-508.

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.

DOI:10.1257/aer.99.1.486 (Full Text)

Country of focus: United States of America.

Browse | Search : All Pubs | Next