Testing Vietnam's public safety net
AbstractAn effective public safety net can be important in a poor transition economy such as Vietnam. Yet we know very little about the performance of existing public transfers as a safety net. Using panel data, the paper investigates whether Vietnam's main social welfare transfers promoted poor people out of poverty and whether they protected the non-poor from becoming poor. It also explores the role transfer programs played in the country's dramatic reduction of poverty in the 1990s. Counterfactual consumption levels without transfers allow for behavioral responses. The findings suggest that transfer programs helped few people escape poverty and protected even fewer from falling into poverty. The public safety net appears to have been largely irrelevant to the country's recent poverty reduction record.
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Bibliographic InfoPaper provided by The World Bank in its series Social Protection Discussion Papers with number 27874.
Date of creation: 01 Oct 2003
Date of revision:
Services&Transfers to Poor; Rural Poverty Reduction; Safety Nets and Transfers; Poverty Assessment; Environmental Economics&Policies;
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