ECP NetHappenings Fighting Global Poverty Program Works

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What is good for Women is good for the world.

It’s one of the biggest experiments in fighting global poverty. Now the results are in

1. Giving cash aid in a lump sum has some major advantages over parceling it out.

2. Lump sums are so useful that even those who didn’t get them have banded together to create their own version.

3. Making the benefit ‘universal’ – by paying every adult in the village – seems to have greatly increased the impact.

4. The grants did not seem to fuel inflation

5. The big remaining question is whether the benefits of lump-sum payments actually last.

“The lump sum and the long term [monthly payments] look similar at two years,” Suri says. “But the question is, does the lump sum [impact] fade after year five? Year six? Does it just disappear? Or was this enough to keep [the impacts] going forever?”

Because if so, she adds, “Then we’re good. I don’t have to spend 12 years of money. I just have to spend two years’ worth and just structure it correctly.”

 

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