IDEAS home Printed from https://ideas.repec.org/a/taf/femeco/v25y2019i4p159-184.html
   My bibliography  Save this article

Cash Transfers, Labor Supply, and Gender Inequality: Evidence from South Africa

Author

Listed:
  • Margherita Scarlato
  • Giorgio d'Agostino

Abstract

This paper provides an empirical analysis of the impact of the Child Support Grant (CSG) implemented in South Africa on the labor supply of the parents of beneficiary children. The aim is to assess whether the program improved or lessened gender inequality in the labor market. Using data from a national panel survey and applying a fuzzy regression discontinuity design that exploits an expansion in eligibility due to a discontinuous change in age eligibility, the results show that the CSG had a negative effect on the probability of parents of beneficiary children being employed and mixed effects on the participation in the labor force, with substantial heterogeneity by gender and by other individual and household characteristics. Overall, the evaluation suggests that the program provided support to members of vulnerable households in coping with the constraints of the South African labor market, but it did not reshape existing gender inequalities.

Suggested Citation

  • Margherita Scarlato & Giorgio d'Agostino, 2019. "Cash Transfers, Labor Supply, and Gender Inequality: Evidence from South Africa," Feminist Economics, Taylor & Francis Journals, vol. 25(4), pages 159-184, October.
  • Handle: RePEc:taf:femeco:v:25:y:2019:i:4:p:159-184
    DOI: 10.1080/13545701.2019.1648850
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/13545701.2019.1648850
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Sascha O. Becker & Peter H. Egger & Maximilian von Ehrlich, 2013. "Absorptive Capacity and the Growth and Investment Effects of Regional Transfers: A Regression Discontinuity Design with Heterogeneous Treatment Effects," American Economic Journal: Economic Policy, American Economic Association, vol. 5(4), pages 29-77, November.
    2. Ximena V. Del Carpio & Karen Macours, 2010. "Leveling the intra-household playing field: compensation and specialization in child labor allocation," Research in Labor Economics, in: Randall K.Q. Akee & Eric V. Edmonds & Konstantinos Tatsiramos (ed.),Child Labor and the Transition between School and Work, volume 31, pages 259-295, Emerald Publishing Ltd.
    3. Victoria Hosegood & Anne Case & Cally Ardington, 2009. "Labor Supply Responses to Large Social Transfers: Longitudinal Evidence from South Africa," American Economic Journal: Applied Economics, American Economic Association, vol. 1(1), pages 22-48, January.
    4. Burns, Justine & Godlonton, Susan & Keswell, Malcolm, 2010. "Social networks, employment and worker discouragement: Evidence from South Africa," Labour Economics, Elsevier, vol. 17(2), pages 336-344, April.
    5. Jorge Agüero & Michael R. Carter & Julian May, 2007. "Poverty and Inequality in the First Decade of South Africa's Democracy: What can be Learnt from Panel Data from KwaZulu-Natal?," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 16(5), pages 782-812, November.
    6. Novella, Rafael & Ripani, Laura & Cruces, Guillermo & Alzuá, Maria Laura, 2012. "Conditional Cash Transfers, Female Bargaining Power and Parental Labour Supply," IDB Publications (Working Papers) 4136, Inter-American Development Bank.
    7. Servaas van der Berg & Krige Siebrits & Bongisa Lekezwa, 2010. "Efficiency and equity effects of social grants in South Africa," Working Papers 15/2010, Stellenbosch University, Department of Economics.
    8. Marisa Coetzee, 2013. "Finding the Benefits: Estimating the Impact of The South African Child Support Grant," South African Journal of Economics, Economic Society of South Africa, vol. 81(3), pages 427-450, September.
    9. María Alzúa & Guillermo Cruces & Laura Ripani, 2013. "Welfare programs and labor supply in developing countries: experimental evidence from Latin America," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(4), pages 1255-1284, October.
    10. Nicolas Pons-Vignon & Aurelia Segatti, 2013. "'The art of neoliberalism': accumulation, institutional change and social order since the end of apartheid," Review of African Political Economy, Taylor & Francis Journals, vol. 40(138), pages 507-518, December.
    11. Boris Branisa & Stephan Klasen & Maria Ziegler & Denis Drechsler & Johannes Jütting, 2014. "The Institutional Basis of Gender Inequality: The Social Institutions and Gender Index (SIGI)," Feminist Economics, Taylor & Francis Journals, vol. 20(2), pages 29-64, April.
    12. Wilbert van der Klaauw, 2002. "Estimating the Effect of Financial Aid Offers on College Enrollment: A Regression-Discontinuity Approach," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 43(4), pages 1249-1287, November.
    13. Margherita Scarlato & Giorgio d'Agostino & Francesca Capparucci, 2016. "Evaluating CCTs from a Gender Perspective: The Impact of Chile Solidario on Women's Employment Prospect," Journal of International Development, John Wiley & Sons, Ltd., vol. 28(2), pages 177-197, March.
    14. Kaushik Basu, 2006. "Gender and Say: a Model of Household Behaviour with Endogenously Determined Balance of Power," Economic Journal, Royal Economic Society, vol. 116(511), pages 558-580, April.
    15. Reinhard Schiel & Murray Leibbrandt & David Lam, 2014. "Assessing the Impact of Social Grants on Inequality: A South African Case Study," WIDER Working Paper Series wp-2014-160, World Institute for Development Economic Research (UNU-WIDER).
    16. World Bank, 2017. "South Africa Economic Update, January 2017," World Bank Other Operational Studies 25971, The World Bank.
    17. Gary Chamberlain, 1980. "Analysis of Covariance with Qualitative Data," Review of Economic Studies, Oxford University Press, vol. 47(1), pages 225-238.
    18. Schiel, Reinhard & Leibbrandt, Murray & Lam, David, 2014. "Assessing the impact of social grants on inequality: A South African case study," WIDER Working Paper Series 160, World Institute for Development Economic Research (UNU-WIDER).
    19. World Bank, 2017. "South Africa Economic Update, September 2017," World Bank Other Operational Studies 28439, The World Bank.
    20. Giorgio d’Agostino & Margherita Scarlato & Silvia Napolitano, 2018. "Do Cash Transfers Promote Food Security? The Case of the South African Child Support Grant," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 27(4), pages 430-456.
    21. Haroon Bhorat & Sumayya Goga, 2013. "The Gender Wage Gap in Post-Apartheid South Africa: A Re-examination," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 22(5), pages 827-848, November.
    22. Katherine Eyal & Justine Burns, 2016. "Up or Down? Intergenerational Mental Health Transmission and Cash Transfers in South Africa," SALDRU Working Papers 165, Southern Africa Labour and Development Research Unit, University of Cape Town.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:femeco:v:25:y:2019:i:4:p:159-184. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Chris Longhurst). General contact details of provider: http://www.tandfonline.com/RFEC20 .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.