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Spillovers of Community-Based Health Interventions on Consumption Smoothing

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  • Emla Fitzsimons

    ()

  • Bansi Malde

    ()

  • Marcos Vera-Hernández

    ()

Abstract

Community-based interventions, particularly group-based ones, are considered to be a cost-effective way of delivering interventions in low-income settings. However, design features of these programs could also influence dimensions of household and community behaviour beyond those targeted by the intervention. This paper studies spillover effects of a participatory community health intervention in rural Malawi, implemented through a cluster randomised control trial, on an outcome not directly targeted by the intervention: household consumption smoothing after crop losses. We find that while crop losses reduce consumption growth in the absence of the intervention, households in treated areas are able to compensate for this loss and perfectly insure their consumption. Asset decumulation also falls in treated areas. We provide suggestive evidence that these effects are driven by increased social interactions, which could have alleviated contracting frictions; and rule out that they are driven by improved health or reductions in the incidence of crop losses.

Suggested Citation

  • Emla Fitzsimons & Bansi Malde & Marcos Vera-Hernández, 2016. "Spillovers of Community-Based Health Interventions on Consumption Smoothing," Studies in Economics 1611, School of Economics, University of Kent.
  • Handle: RePEc:ukc:ukcedp:1611
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    References listed on IDEAS

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    More about this item

    Keywords

    participatory community interventions; spillovers; consumption smoothing; Sub-Saharan Africa;

    JEL classification:

    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
    • G22 - Financial Economics - - Financial Institutions and Services - - - Insurance; Insurance Companies; Actuarial Studies
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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