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The Illusion of Sustainability

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  • Kremer, Michael Robert
  • Miguel, Edward A.

Abstract

Rather than provide development assistance indefinitely, foreign aid donors increasingly seek to help communities sustainably provide local public goods themselves. We examine various strategies for sustainably fighting intestinal worms through voluntary local mobilization. Intestinal worms affect one in four people worldwide, but can be controlled by taking medicine twice annually. Since much of the resulting treatment benefit comes through reduced disease transmission, standard public finance analysis provides a rationale for subsidized treatment. Randomized evaluations suggest several efforts to replace subsidies with sustainable worm control measures were ineffective. A drug cost recovery program reduced take-up by 80%. A mobilization intervention designed to boost drug take up failed. Health education did not affect behavior. People were less likely to take drugs if randomly exposed to more information through their social network. In this context, using external interventions to promote sustainable voluntary provision of local public goods (like worm control) appears unrealistic.

Suggested Citation

  • Kremer, Michael Robert & Miguel, Edward A., 2004. "The Illusion of Sustainability," Department of Economics, Working Paper Series qt94p8w1d7, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
  • Handle: RePEc:cdl:econwp:qt94p8w1d7
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    Cited by:

    1. Cagé, Julia, 2009. "Growth, Poverty Reduction and Governance in Developing Countries: a Survey," CEPREMAP Working Papers (Docweb) 0904, CEPREMAP.
    2. Michael Kremer & Alix Peterson Zwane, 2007. "Cost-Effective Prevention of Diarrheal Diseases: A Critical Review," Working Papers 117, Center for Global Development.
    3. Shrimali, Gireesh & Slaski, Xander & Thurber, Mark C. & Zerriffi, Hisham, 2011. "Improved stoves in India: A study of sustainable business models," Energy Policy, Elsevier, vol. 39(12), pages 7543-7556.
    4. Stefanescu, Răzvan & Dumitriu, Ramona, 2015. "Creşterea economică a României între 1980 şi 2013 [The Economic Growth of Romania between 1980 and 2013]," MPRA Paper 61592, University Library of Munich, Germany.
    5. Nava Ashaf & Dean Karlan & Wesley Yin, 2006. "Household decision making and savings impacts: Further evidence from a commitment savings product in the philippines," Natural Field Experiments 00207, The Field Experiments Website.

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    More about this item

    Keywords

    Education; merit scholarships; externalities;
    All these keywords.

    JEL classification:

    • I1 - Health, Education, and Welfare - - Health
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty

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