Publication: Does more cash in conditional cash transfer programs always lead to larger impacts on school attendance?
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2011-09-01
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2022-03-03
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Schady, Norbert
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There is considerable evidence that conditional cash transfer (CCT) programs can have large impacts on school enrollment, including in very poor countries. However, little is known about what features of program design account for the observed outcomes. In this paper we analyze the impact of a program in Cambodia that made payments of varying magnitude to otherwise comparable households. The identification is based on a sharp regression discontinuity design. We find that a modest cash transfer, equivalent to approximately 2 percent of the consumption of the median recipient household, had a substantial impact on school attendance, approximately 25 percentage points. A somewhat larger transfer did not raise attendance rates above this level.
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Publication Does More Cash in Conditional Cash Transfer Programs Always Lead to Larger Impacts on School Attendance?(2011)There is considerable evidence that conditional cash transfer (CCT) programs can have large impacts on school enrollment, including in very poor countries. However, little is known about what features of program design account for the observed outcomes. In this paper we analyze the impact of a program in Cambodia that made payments of varying magnitude to otherwise comparable households. The identification is based on a sharp regression discontinuity design. We find that a modest cash transfer, equivalent to approximately 2% of the consumption of the median recipient household, had a substantial impact on school attendance, approximately 25 percentage points. A somewhat larger transfer did not raise attendance rates above this level.Publication Are There Diminishing Returns to Transfer Size in Conditional Cash Transfers?(2009-07-01)There is increasing evidence that conditional cash transfer programs can have large impacts on school enrollment, including in very poor countries. However, little is known about which features of program design -- including the amount of the cash that is transferred, how frequently conditions are monitored, whether non-complying households are penalized, and the identity or gender of the cash recipients -- account for the observed outcomes. This paper analyzes the impact of one feature of program design -- namely, the magnitude of the transfer. The analysis uses data from a program in Cambodia that deliberately altered the transfer amounts received by otherwise comparable households. The findings show clear evidence of diminishing marginal returns to transfer size despite the fact that even the larger transfers represented on average only 3 percent of the consumption of the median recipient households. If applicable to other settings, these results have important implications for other programs that transfer cash with the explicit aim of increasing school enrollment levels in developing countries.Publication Own and sibling effects of conditional cash transfer programs : theory and evidence from Cambodia(2009-07-01)Conditional cash transfers have been adopted by a large number of countries in the past decade. Although the impacts of these programs have been studied extensively, understanding of the economic mechanisms through which cash and conditions affect household decisions remains incomplete. This paper uses evidence from a program in Cambodia, where eligibility varied substantially among siblings in the same household, to illustrate these effects. A model of schooling decisions highlights three different effects of a child-specific conditional cash transfer: an income effect, a substitution effect, and a displacement effect. The model predicts that such a conditional cash transfer will increase enrollment for eligible children - due to all three effects - but have an ambiguous effect on ineligible siblings. The ambiguity arises from the interaction of a positive income effect with a negative displacement effect. These predictions are shown to be consistent with evidence from Cambodia, where the child-specific program makes modest transfers, conditional on school enrollment for children of middle-school age. Scholarship recipients were more than 20 percentage points more likely to be enrolled in school and 10 percentage points less likely to work for pay. However, the school enrollment and work of ineligible siblings was largely unaffected by the program.Publication Getting Girls into School : Evidence from a Scholarship Program in Cambodia(World Bank, Washington, DC, 2006-05)Increasing the schooling attainment of girls is a challenge in much of the developing world. The authors evaluate the impact of a program that gives scholarships to girls making the transition between the last year of primary school and the first year of secondary school in Cambodia. They show that the scholarship program had a large, positive effect on the school enrollment and attendance of girls. Their preferred set of estimates suggests program effects on enrollment and attendance at program schools of 30 to 43 percentage points. Scholarship recipients were also more likely to be enrolled at any scchool (not just program schools) by a margin of 22 to 33 percentage points. The impact of the Japan Fund for Poverty Reduction (JFPR) program appears to have been largest among girls with the lowest socioeconomic status at baseline. The results are robust to a variety of controls for observable differences between scholarship recipients and nonrecipients, to unobserved heterogeneity across girls, and to selective attrition out of the sample.Publication The Impact of Cash Transfers on School Enrollment : Evidence from Ecuador(World Bank, Washington, DC, 2008-06)This paper presents evidence about the impact on school enrollment of a program in Ecuador that gives cash transfers to the 40 percent poorest families. The evaluation design consists of a randomized experiment for families around the first quintile of the poverty index and of a regression discontinuity design for families around the second quintile of this index, which is the program's eligibility threshold. This allows us to compare results from two different credible identification methods, and to investigate whether the impact varies with families' poverty level. Around the first quintile of the poverty index the impact is positive while it is equal to zero around the second quintile. This suggests that for the poorest families the program lifts a credit constraint while this is not the case for families close to the eligibility threshold.
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