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Learning About Labour Impacts of Cash Transfers in Zambia

Author

Listed:
  • Prifti Ervin
  • Estruch Elisenda
  • Daidone Silvio
  • Davis Benjamin
  • Van Ufford Paul
  • Michelo Stanfeld
  • Handa Sudhanshu
  • Seidenfeld David
  • Tembo Gelson

Abstract

Over the past decade, several African governments have launched cash transfer (CT) programmes as part of social protection systems, with the aim of reducing poverty and hunger. Such programmes can also have significant impacts on rural livelihoods by inducing investments in productive activities and changing household labour allocation. In this paper, we look beyond the protective function of CTs and provide evidence on their impacts on labour supply. We use data from the second wave of the impact evaluation of the Zambia Child Grant model of the Social Cash Transfer programme. We focus on the response of households’ labour supply in terms of off-farm paid labour and own-farm labour. We find that CTs cause a shift from agricultural wage labour to own-farm labour and that overall have no work disincentives on-farm households.

Suggested Citation

  • Prifti Ervin & Estruch Elisenda & Daidone Silvio & Davis Benjamin & Van Ufford Paul & Michelo Stanfeld & Handa Sudhanshu & Seidenfeld David & Tembo Gelson, 2017. "Learning About Labour Impacts of Cash Transfers in Zambia," Journal of African Economies, Centre for the Study of African Economies, vol. 26(4), pages 433-442.
    • Handle: RePEc:oup:jafrec:v:26:y:2017:i:4:p:433-442.
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    File URL: http://hdl.handle.net/10.1093/jae/ejx005
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    Citations

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    Cited by:

    1. Prifti, Ervin & Daidone, Silvio & Davis, Benjamin, 2019. "Causal pathways of the productive impacts of cash transfers: Experimental evidence from Lesotho," World Development, Elsevier, vol. 115(C), pages 258-268.
    2. Silvio Daidone & Francisco Pereira Fontes, 2023. "The role of social protection in mitigating the effects of rainfall shocks. Evidence from Ethiopia," Journal of Productivity Analysis, Springer, vol. 60(3), pages 315-332, December.
    3. Sarah Baird & David McKenzie & Berk Özler, 2018. "The effects of cash transfers on adult labor market outcomes," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 8(1), pages 1-20, December.
    4. Prifti, Ervin & Estruch, Elisenda & Daidone, Silvio & Davis, Benjamin, 2019. "How much is too much: Does the size of income support transfers affect labor supply?," Journal of Policy Modeling, Elsevier, vol. 41(1), pages 179-196.
    5. Bryan, Gharad & Chowdhury, Shyamal & Mobarak, Ahmed Mushfiq & Morten, Melanie & Smits, Joeri, 2021. "Encouragement and Distortionary Effects of Conditional Cash Transfers," IZA Discussion Papers 14326, Institute of Labor Economics (IZA).

    More about this item

    Keywords

    cash transfers; labour supply; treatment effects;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies

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