We do not know what explains this discrepancy.
Cost-effectiveness: Cost-effectiveness calculations are extremely sensitive to psychology chat room free many assumptions, and cash transfers are in the same range of cost-effectiveness of other priority programs we have considered.
These calculations are an overestimate of the return on the grant itself, party ip chat rooms however, because they include the benefits but not the (quite high) costs of services like business skills training, targeting and disbursement, and (for some recipients) group dynamics training.It could also have been saved (without investment transferred to other individuals, or simply mis-measured.The researchers address this issue explicitly in their paper.However, imprecise and statistically insignificant point estimates suggest the possibility of moderate negative effects on non-recipient households.Bottom line There is suggestive evidence that cash transfer programs may have moderate negative short-term effects on the well-being and economic outcomes (e.g., consumption, assets, and business revenue) of non-recipient households living in the same areas as similar households that receive transfers.How did wings recipients spend the transfers?
GiveDirectly also conducted a survey on roof costs.None of the studies reported findings on negative effects that substantively changed our view because either (a) they did not find meaningfully negative effects of transfers, or (b) the potential negative effects seemed to be unlikely to apply to GiveDirectlys program.Blattman, Jamison and Sheridan 2015 randomly assigned dollar;200 grants (about 3 months wages) to criminally engaged Liberian men (some also received therapy).However, this is likely to be an underestimate of the total effect because many students worked, causing both a reduction in transfers for them relative to the maximum possible and an increase in consumption for their families (through their wages).When interpreting the results, we keep this difference in mind because we believe that the size of a transfer probably has substantial effects on the magnitude of its impact and its effect on recipients behavior.Monthly installment and the size of the transfer ( dollar;287.
Of all the recent literature, we put the most significant weight on an RCT of a variant of GiveDirectly's program.
Their spending is broken down in more detail below.
All data that follows comes from participant self-reports.