IDEAS home Printed from https://ideas.repec.org/p/wbk/wbrwps/5875.html
   My bibliography  Save this paper

Should cash transfers be confined to the poor ? implications for poverty and inequality in Latin America

Author

Listed:
  • Acosta, Pablo
  • Leite, Phillipe
  • Rigolini, Jamele

Abstract

This paper compares for 13 Latin American countries the poverty and inequality impacts of cash transfer programs that are given to all children and the elderly (that is,"categorical"transfers), to programs of equal budget that are confined to the poor within each population group (that is,"poverty targeted"transfers). The analysis finds that both the incidence of poverty and the depth of the poverty gap are important factors affecting the relative effectiveness of categorical versus poverty targeted transfers. The comparison of transfers to children and the elderly also supports the view that choosing carefully categories of beneficiaries is almost as important as targeting the poor for achieving a high poverty and inequality impact. Overall, the findings suggest that although in the Latin American context poverty targeting tends to deliver higher poverty impacts, there are circumstances under which categorical targeting confined to geographical regions (sometimes called"geographic targeting") may be a valid option to consider. This is particularly the case in low-income countries with widespread pockets of poverty.

Suggested Citation

  • Acosta, Pablo & Leite, Phillipe & Rigolini, Jamele, 2011. "Should cash transfers be confined to the poor ? implications for poverty and inequality in Latin America," Policy Research Working Paper Series 5875, The World Bank.
  • Handle: RePEc:wbk:wbrwps:5875
    as

    Download full text from publisher

    File URL: http://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2011/11/08/000158349_20111108083448/Rendered/PDF/WPS5875.pdf
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Emmanuel Skoufias & Vincenzo Di Maro, 2008. "Conditional Cash Transfers, Adult Work Incentives, and Poverty," Journal of Development Studies, Taylor & Francis Journals, vol. 44(7), pages 935-960.
    2. Ariel Fiszbein & Norbert Schady & Francisco H.G. Ferreira & Margaret Grosh & Niall Keleher & Pedro Olinto & Emmanuel Skoufias, 2009. "Conditional Cash Transfers : Reducing Present and Future Poverty," World Bank Publications, The World Bank, number 2597, January.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Rural Poverty Reduction; Services&Transfers to Poor; Regional Economic Development; Poverty Monitoring&Analysis;

    JEL classification:

    • D6 - Microeconomics - - Welfare Economics
    • H5 - Public Economics - - National Government Expenditures and Related Policies
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:wbk:wbrwps:5875. 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: (Roula I. Yazigi). General contact details of provider: http://edirc.repec.org/data/dvewbus.html .

    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.