Using Referenda to Improve Targeting and Decrease Costs of Conditional Cash Transfers

Cost-effective allocation of conditional cash transfers (CCT) requires identifying recipients with low opportunity costs who might change behavior. This paper develops a low-cost approach for improving program implementation by using a stated prefe...

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Main Authors: Alix-Garcia, Jennifer M., Sims, Katharine R.E., Phaneuf, Daniel J.
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2019
Subjects:
Online Access:http://documents.worldbank.org/curated/en/951191547752842409/Using-Referenda-to-Improve-Targeting-and-Decrease-Costs-of-Conditional-Cash-Transfers
http://hdl.handle.net/10986/31176
id okr-10986-31176
recordtype oai_dc
spelling okr-10986-311762022-03-13T01:40:08Z Using Referenda to Improve Targeting and Decrease Costs of Conditional Cash Transfers Alix-Garcia, Jennifer M. Sims, Katharine R.E. Phaneuf, Daniel J. TARGETING CONDITIONAL CASH TRANSFERS ECOSYSTEM SERVICES PREFERENCES Cost-effective allocation of conditional cash transfers (CCT) requires identifying recipients with low opportunity costs who might change behavior. This paper develops a low-cost approach for improving program implementation by using a stated preference, referendum-style survey question to calculate willingness to accept (WTA) for CCT contracts. This is illustrated in the context of Mexico's Payments for Ecosystem Services Program, with the paper finding that the estimated social cost based on WTA is substantially lower than actual payments. Simulation of three geographic targeting approaches shows that joint selection using deforestation risk and WTA could increase program impact under the same budget. The paper also simulates modified payment schedules based on predicted WTA and demonstrates that these could reduce program cost. 2019-01-31T21:06:53Z 2019-01-31T21:06:53Z 2019-01 Working Paper http://documents.worldbank.org/curated/en/951191547752842409/Using-Referenda-to-Improve-Targeting-and-Decrease-Costs-of-Conditional-Cash-Transfers http://hdl.handle.net/10986/31176 English Policy Research Working Paper;No. 8708 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Latin America & Caribbean Mexico
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic TARGETING
CONDITIONAL CASH TRANSFERS
ECOSYSTEM SERVICES
PREFERENCES
spellingShingle TARGETING
CONDITIONAL CASH TRANSFERS
ECOSYSTEM SERVICES
PREFERENCES
Alix-Garcia, Jennifer M.
Sims, Katharine R.E.
Phaneuf, Daniel J.
Using Referenda to Improve Targeting and Decrease Costs of Conditional Cash Transfers
geographic_facet Latin America & Caribbean
Mexico
relation Policy Research Working Paper;No. 8708
description Cost-effective allocation of conditional cash transfers (CCT) requires identifying recipients with low opportunity costs who might change behavior. This paper develops a low-cost approach for improving program implementation by using a stated preference, referendum-style survey question to calculate willingness to accept (WTA) for CCT contracts. This is illustrated in the context of Mexico's Payments for Ecosystem Services Program, with the paper finding that the estimated social cost based on WTA is substantially lower than actual payments. Simulation of three geographic targeting approaches shows that joint selection using deforestation risk and WTA could increase program impact under the same budget. The paper also simulates modified payment schedules based on predicted WTA and demonstrates that these could reduce program cost.
format Working Paper
author Alix-Garcia, Jennifer M.
Sims, Katharine R.E.
Phaneuf, Daniel J.
author_facet Alix-Garcia, Jennifer M.
Sims, Katharine R.E.
Phaneuf, Daniel J.
author_sort Alix-Garcia, Jennifer M.
title Using Referenda to Improve Targeting and Decrease Costs of Conditional Cash Transfers
title_short Using Referenda to Improve Targeting and Decrease Costs of Conditional Cash Transfers
title_full Using Referenda to Improve Targeting and Decrease Costs of Conditional Cash Transfers
title_fullStr Using Referenda to Improve Targeting and Decrease Costs of Conditional Cash Transfers
title_full_unstemmed Using Referenda to Improve Targeting and Decrease Costs of Conditional Cash Transfers
title_sort using referenda to improve targeting and decrease costs of conditional cash transfers
publisher World Bank, Washington, DC
publishDate 2019
url http://documents.worldbank.org/curated/en/951191547752842409/Using-Referenda-to-Improve-Targeting-and-Decrease-Costs-of-Conditional-Cash-Transfers
http://hdl.handle.net/10986/31176
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