Cash transfers and political support: evidence from Ecuador

2020 ◽  
Vol 19 (2) ◽  
pp. 255-274
Author(s):  
Juan Ponce ◽  
Carolina Curvale

Purpose This paper evaluates the argument that conditional cash transfer program recipients vote for the incumbent. We also test the hypothesis stating that ceasing to receive the benefit hinders support for the incumbent. Design/methodology/approach Using a regression discontinuity design, we assess the impact of the Bono de Desarrollo Humano cash transfer program on pro-incumbent voting of each of these four groups. Findings We did not find a significant impact of the transfer on pro-incumbent vote intention in any of the pairwise comparisons, which suggests that contextual factors determining retrospective voting may play an important role in shaping the relationship between pro-incumbent voting and social policy transfers. Originality/value Drawing on quasi-experimental evidence from Ecuador, where the eligibility criteria of the program changed exogenously, we evaluate the impacts of several treatments on pro-incumbent voting. We are able to identify four distinct groups: recipients under both eligibility criteria, nonrecipients under both criteria, new recipients and new nonrecipients.

Tendencias ◽  
2015 ◽  
Vol 16 (2) ◽  
pp. 80
Author(s):  
Vanessa Katherine Bolaños Guerrero ◽  
Daisy Viviana Triviño Jaramillo

En esta investigación se estudian algunas alteraciones generadas por el Programa “Familias en Acción” en la racionalidad económica de beneficiarios de este subsidio en la ciudad de San Juan de Pasto, Nariño, Colombia. Se parte de los postulados de la Economía del Comportamiento y de la metodología propuesta por la Economía Experimental. Mediante una plataforma de simulación, en el marco de un diseño cuasi-experimental, se analiza el comportamiento de los sujetos frente al consumo de bienes suntuarios, decisiones de ahorro e inversión y la búsqueda de un trabajo remunerado. Los hallazgos señalan que la recepción del subsidio otorgado por el programa no genera alteraciones significativas en las decisiones de ahorro, inversión y búsqueda de un empleo remunerado de los beneficiarios, sin embargo, se presenta un aumento en el consumo de bienes suntuarios, esta variación es mayor en la población que ha recibido el subsidio durante un período prolongado de tiempo, por lo cual podría afirmarse que un programa de transferencias condicionadas que se perpetúa durante mucho tiempo, genera hábitos de comportamiento en los beneficiarios contrarios a los esperados por la política. ABSTRACTThis current research studies some alterations generated by the program “Families in Action” on economic rationality of beneficiaries of this subsidy in the city of San Juan de Pasto, Nariño, Colombia. It starts the candidates’ Behavioral Economics and the methodology proposed by the Experimental Economics. Through a simulation platform, as part of a quasi-experimental design, the behavior of the subjects is analyzed by viewing the consume of sumptuary properties, saving and investment decisions and the search of a well-paid job. The findings indicate that the reception of the subsidy from the program does not generate significant changes in the decisions of beneficiaries about savings, investment and seeking gainful employment, however, an increase in the consumption of luxury goods is presented, this variation is higher in the population that has received the subsidy for an extended period of time, so it could be argued that a conditional cash transfer program that is perpetuated long, generates behavioral habits beneficiaries different from those expected by politics. RESUMOA presente investigação estuda algumas alterações geradas pelo programa “Famílias em Ação” na racionalidade econômica dos beneficiários deste subsídio, na cidade de San Juan de Pasto, Nariño, Colômbia. Começa dos candidatos Economia Comportamental e da metodologia proposta pela Economia Experimental. Através de um delineamento quasi-experimental, em que por meio de uma plataforma de simulação, se analiso o comportamento dos indivíduos frente ao consumo de bens de luxo, decisões de poupança e inversão e de procurar um trabalho remunerado. Os resultados indicam que a recepção do subsídio do programa não gera mudanças significativas nas decisões dos beneficiários sobre poupança, investimento e à procura de emprego remunerado, no entanto, um aumento no consumo de bens de luxo é apresentado, esta variação é maior no população que tem recebido osubsídio por um período prolongado de tempo, então pode-se argumentar que um programa de transferência condicionada de renda que se perpetua por muito tempo, gera hábitos comportamentais beneficiários diferentes dos esperados pela política.


2017 ◽  
Vol 44 (2) ◽  
pp. 206-221 ◽  
Author(s):  
Paloma Santana Moreira Pais ◽  
Felipe de Figueiredo Silva ◽  
Evandro Camargos Teixeira

Purpose The Brazilian Government created the Bolsa Familia program to combat poverty and the insertion of so many children into the labor market. This program is an income transfer program subject to certain conditions such as a minimum school attendance for children under 17 years of age. In 2006, almost half of the people with an income per capita of R$300.00 (US$139.53) per month declared that they received this benefit. Accordingly, the purpose of this paper is to analyze the impact of Bolsa Familia on child labor in Brazil in 2006. Design/methodology/approach The authors used a propensity score matching model with data from the National Household Sample Survey PESQUISA NACIONAL POR AMOSTRA DE DOMICÍLIOS (PNAD), for 2006. Findings Results indicate that the program increased the number of hours of child labor in Brazil. However, this outcome might be explained by the fact that those families who received Bolsa Familia were also those with higher socioeconomic vulnerability. Thus, they need to guarantee their survival with the income generated via child labor. Social implications The Brazilian Government needs to invest not only in monetary transfer policies but also in the improvement of the job market to create opportunities for the social development of children. Originality/value The contribution of the paper is the investigation into the effect of the Bolsa Familia program on the average time allocated to child labor; the authors find that this time allocation could be reduced by requiring a compulsory school attendance.


2012 ◽  
Vol 19 ◽  
pp. 6
Author(s):  
Diana Hincapié

This paper estimates the impact of Familias en Acción, the largest Colombian conditional cash transfer program, on household income. It uses a Quantile Regression methodology and Difference-in-Difference estimators to capture the impact of the program on household income at different quantiles of the income distribution. The estimations show that the program has a positive impact on household income, and that this impact is larger for the households at the lower quantiles of the income distribution. Additional analyses examine whether these results stem from changes in labor market participation or increases in non-labor income. There is some indication that for program participants there was a decrease in labor income, while there was an increase in subsidies or non-labor income. Implications of these findings for conditional cash transfer programs are discussed.


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