Failure vs. Displacement: Why an Innovative Anti-Poverty Program Showed No Net Impact
AbstractWe present results from a randomized trial of an innovative anti-poverty program in India. Instead of a safety net, the program provides “ultra-poor” households with inputs to create a new livelihood and attain economic independence. We find no statistically significant evidence of lasting net impact on consumption, income or asset accumulation. The main impact was the re-optimization of time use: sharp gains in income from the new livelihood were fully offset by lower earnings from wage labor. The result highlights how the existence of alternative economic options shapes net impacts and external validity.
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Bibliographic InfoPaper provided by Center for Economic Institutions, Institute of Economic Research, Hitotsubashi University in its series CEI Working Paper Series with number 2012-05.
Length: 48, 13 p.
Date of creation: Dec 2012
Date of revision:
Note: December 2012
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Other versions of this item:
- Morduch, Jonathan & Ravi, Shamika & Bauchet, Jonathan, 2012. "Failure vs. Displacement: Why An Innovative Anti-Poverty Program Showed No Net Impact," PRIMCED Discussion Paper Series 32, Institute of Economic Research, Hitotsubashi University.
- O1 - Economic Development, Technological Change, and Growth - - Economic Development
- D1 - Microeconomics - - Household Behavior
- J2 - Labor and Demographic Economics - - Demand and Supply of Labor
- J4 - Labor and Demographic Economics - - Particular Labor Markets
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-01-07 (All new papers)
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