Cash Transfers and Poverty

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3 Responses

  1. Howard Kellogg says:

    You mention studies in Asia, Africa and South America that show no strings cash is effective. The view point of most US citizens is skewed by the decades long inability of no strings cash to eliminate poverty in this country.

    • ARKellogg says:

      Thanks for you comment! You make an excellent point that unfortunately there are no studies that evaluate these types of programs in the United States. One reason for the dearth of studies locally is that this type of program has never existed in the United States. The closest proxy economists have tried to use is the land lotteries in the nineteenth century. Nor is anyone currently willing to fund similar experiments as these studies point to. It may be that poverty is qualitatively different in the US. For example, if poverty in the United States is the result of systemic inequalities, then addressing the problem of resources may not be effective. However, the assumption based (as opposed to evidence based) characterizations of the poor as lazy and likely to waste their money on alcohol and booze applies very much to the United States. I listed several studies on this point in my post last year:The Value of Empathy

  1. June 26, 2014

    […] This post has been updated on June 26, 2014. You can find it here. […]

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