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The static and dynamic incidence of Vietnam's public safety net

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  • Van de Walle, Dominique

Abstract

How does Vietnam's public safety net affect outcomes for the poor? Although social welfare programs in Vietnam are centrally mandated, they are locally implemented according to local norms and local poverty standards and often rely heavily on local financing. The author examines the coverage, incidence, and horizontal equity of the programs that can be identified in the data from the Vietnam Living Standards Survey. She looks at the role of location in determining whether the poor are assisted nationally. And she explores dynamic incidence between 1993 and 1998 and the degree to which programs performed a safety net function. The author's analysis shows that coverage and payments to households are low and have had a negligible impact on poverty. In principle, better targeting could improve the impact of current outlays. The analysis also shows that the system was ineffective in protecting households that were vulnerable to shocks. Finally, the results suggest that although there is a greater concentration of poverty-related programs and greater household participation in poorer communes, the system spends more (absolutely and relatively) on the poor in richer communes.

Suggested Citation

  • Van de Walle, Dominique, 2002. "The static and dynamic incidence of Vietnam's public safety net," Policy Research Working Paper Series 2791, The World Bank.
  • Handle: RePEc:wbk:wbrwps:2791
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    References listed on IDEAS

    as
    1. Minot, Nicholas & Baulch, Bob, 2002. "The spatial distribution of poverty in Vietnam and the potential for targeting," Policy Research Working Paper Series 2829, The World Bank.
    2. Ravallion, Martin, 1999. "Are poorer states worse at targeting their poor?," Economics Letters, Elsevier, vol. 65(3), pages 373-377, December.
    3. Galasso, Emanuela & Ravallion, Martin, 2000. "Distributional outcomes of a decentralized welfare program," Policy Research Working Paper Series 2316, The World Bank.
    4. Dilip Mookherjee & Pranab K. Bardhan, 2000. "Capture and Governance at Local and National Levels," American Economic Review, American Economic Association, vol. 90(2), pages 135-139, May.
    5. Conning, Jonathan & Kevane, Michael, 2002. "Community-Based Targeting Mechanisms for Social Safety Nets: A Critical Review," World Development, Elsevier, vol. 30(3), pages 375-394, March.
    6. Behrman, Jere R & Knowles, James C, 1999. "Household Income and Child Schooling in Vietnam," World Bank Economic Review, World Bank Group, vol. 13(2), pages 211-256, May.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. van de Walle, Dominique, 2004. "Testing Vietnam's public safety net," Journal of Comparative Economics, Elsevier, vol. 32(4), pages 661-679, December.
    2. repec:spr:soinre:v:138:y:2018:i:3:d:10.1007_s11205-017-1691-4 is not listed on IDEAS
    3. Abbott, Philip & Bentzen, Jeanet & Huong, Thi Lan & Tarp, Finn, 2007. "A Critical Review of Studies on the Social and Economic Impacts of Vietnam’s International Economic Integration," MPRA Paper 29789, University Library of Munich, Germany.
    4. Baulch, Bob & Truong Thi Kim Chuyen & Haughton, Dominique & Haughton, Jonathan, 2002. "Ethnic minority development in Vietnam : a socioeconomic perspective," Policy Research Working Paper Series 2836, The World Bank.
    5. Klump, Rainer & Prüfer, Patricia, 2005. "How to prioritise policies for poverty reduction: Applying Bayesian Model Averaging to Vietnam," Proceedings of the German Development Economics Conference, Kiel 2005 27, Verein für Socialpolitik, Research Committee Development Economics.
    6. Nguyen Viet Cuong, 2013. "The Impact of Social Security on Household Welfare: Evidence from a Transition Country," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 25(5), pages 737-757, December.
    7. Adam Szulc, 2009. "Checking The Efficiency of The Social Assistance System in Poland," Working Papers 43, Institute of Statistics and Demography, Warsaw School of Economics.

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