2006
DOI: 10.1007/s10797-006-6552-z
|View full text |Cite
|
Sign up to set email alerts
|

Optimal income support targeting

Abstract: This paper considers the practical problem of distributing a fixed budget for poverty alleviation to a population whose poverty status is not directly observable. The solution we propose improves on the techniques that are commonly used in practice by taking both the concavity of the social welfare function and the entire conditional distribution of poverty status into account, and by endogenously determining the optimal transfer levels. We provide an algorithm to calculate the optimal transfers for any popula… Show more

Help me understand this report

Search citation statements

Order By: Relevance

Paper Sections

Select...
2
1
1

Citation Types

0
4
0

Year Published

2008
2008
2023
2023

Publication Types

Select...
7

Relationship

3
4

Authors

Journals

citations
Cited by 8 publications
(4 citation statements)
references
References 17 publications
0
4
0
Order By: Relevance
“…5 However, it is important to note that our main findings of treatment heterogeneity are based on a feature of the original stratified design, addressing concerns about potentially arbitrary subgroup analysis using experimental data (Deaton, 2010). Collectively, the results highlight the importance of carefully choosing proxy indicators to identify and target the poor (Coady et al, 2004;Alatas et al, 2012;and De Wachter and Galiani, 2006).…”
Section: !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!mentioning
confidence: 85%
“…5 However, it is important to note that our main findings of treatment heterogeneity are based on a feature of the original stratified design, addressing concerns about potentially arbitrary subgroup analysis using experimental data (Deaton, 2010). Collectively, the results highlight the importance of carefully choosing proxy indicators to identify and target the poor (Coady et al, 2004;Alatas et al, 2012;and De Wachter and Galiani, 2006).…”
Section: !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!mentioning
confidence: 85%
“…To that end, we specify different budget levels and determine the effect of these budgets on the various poverty measures. The approach we suggest is similar to Glewwe's solution of the targeting problem (1992); a similar approach was taken by De Wachter and Galiani (2006). Glewwe (1992) considers an explicit welfare maximization (poverty minimization) problem based on a parameterization of the poverty index subject to a government budget constraint.…”
Section: Methodsmentioning
confidence: 99%
“…A particularly challenging aspect of targeting recipients in developing countries is the potential for errors in identifying beneficiaries. Indicators of material wealth such as income, savings, and assets are considered the best option for targeting, but the difficulty in observing and correctly measuring these indicators in developing countries can diminish their efficacy in targeting the poor (De Wachter and Galiani, 2006; Ravallion and Chao, 1989). Income is difficult to assess and track in countries that do not have well-developed tax registries, that have large informal labor markets, or where the definition of a household is an issue (Besley and Kanbur, 1990; De Wachter and Galiani, 2006).…”
Section: Introductionmentioning
confidence: 99%
“…The target of this program is for underprivileged students, the selection of students must be on target that meets the indicators of underprivileged communities. (Alatas, Banerjee, Hanna, Olken, & Tobias, 2012;Coady, Grosh, & Hoddinott, 2004;De Wachter & Galiani, 2006;Ma'sum & Wajdi, 2018). The purpose of this school operational assistance is to pressure the improvement of quality, relevance, competitiveness, governance, accountability and public image.…”
Section: Introductionmentioning
confidence: 99%