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Program Conditionality and Food Security: The Impact of PROGRESA and PROCAMPO Transfers in Rural Mexico

Author

Listed:
  • M.Ruiz-Arranz

    (International Monetary Fund, Washington DC, USA)

  • B.Davis, S.Handa

    (Food and Agriculture Organization of the United Nations, Rome, Italy)

  • M.Stampini

    (University of North Carolina at Chapel Hill, NC, USA)

  • P.Winters

    (American University, Washington DC, USA)

Abstract

This paper examines the PROGRESA and PROCAMPO cash transfer programs in Mexico and evaluates their impact on household food security and nutrition. These two programs differ in their targeting and design: PROGRESA is aimed at women and program conditionality is linked to current consumption and human capital investment; PROCAMPO benefits male farmers and program conditionality is linked to agricultural production. The main question addressed by the paper is whether a cash transfer program geared to agricultural production can have the same impact on food security as a cash transfer program geared to consumption through purchases. Our results suggest that monetary payments linked to a productive asset -land- can have as large or larger impact on food security as cash transfers not linked to a productive asset. We show that both programs boost total food consumption and caloric intake in similar proportions. However, increased food security is achieved through different channels - for PROGRESA through purchases while for PROCAMPO through investment in home production. This suggests that the choice of program design depends on objectives beyond total food consumption and caloric intake, such as consumption from specific food categories, diversity of food consumption, investment in agricultural production, and the degree of access to retail food markets.

Suggested Citation

  • M.Ruiz-Arranz & B.Davis, S.Handa & M.Stampini & P.Winters, 2006. "Program Conditionality and Food Security: The Impact of PROGRESA and PROCAMPO Transfers in Rural Mexico," Economia, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics], vol. 7(2), pages 249-278.
    • Handle: RePEc:anp:econom:v:7:y:2006:i:2:p:249-278
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    References listed on IDEAS

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    Cited by:

    1. Lina Salazar & Julián Aramburu & Mario González & Paul Winters, 2015. "Food Security and Productivity: Impacts of Technology Adoption in Small Subsistence Farmers in Bolivia," IDB Publications (Working Papers) 87853, Inter-American Development Bank.
    2. Fitz, Dylan, "undated". "Development Chutes and Ladders: A Joint Impact Evaluation of Asset and Cash Transfers in Brazil," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150254, Agricultural and Applied Economics Association.
    3. Molina-Millan, Teresa & Barham, Tania & Macours, Karen & Maluccio, John A. & Stampini, Marco, 2016. "Long-term Impacts of Conditional Cash Transfers in Latin America: Review of the Evidence," IDB Publications (Working Papers) 7891, Inter-American Development Bank.
    4. Pangaribowo, Evita Hanie, 2011. "Supporting Household Consumption in the Time of Economic Crisis: Evidence from Food Security Program in Indonesia," 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania 103650, Agricultural and Applied Economics Association.
    5. Teresa Molina-Millan & Tania Barham & Karen Macours & John A. Maluccio & Marco Stampini, 2016. "Long-term Impacts of Conditional Cash Transfers in Latin America: Review of the Evidence," IDB Publications (Working Papers) 96136, Inter-American Development Bank.

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    Keywords

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    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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