Can Mistargeting Destroy Social Capital and Stimulate Crime? Evidence from a Cash Transfer Program in Indonesia

B-Tier
Journal: Economic Development & Cultural Change
Year: 2014
Volume: 62
Issue: 2
Pages: 381 - 415

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Cash transfer programs can provide important financial support for poor households in developing countries and are becoming increasingly common. However the potential for mistargeting of program funds is high. This article focuses on the social consequences arising from misallocation of resources in close-knit communities. We find that the mistargeting of a cash transfer program in Indonesia had significant negative social consequences. The prevalence of crime within communities increased and participation in community groups declined. Hence poorly administered transfer programs have a potentially large negative downside that extends beyond the pure financial costs that have been the focus of the literature to date.

Technical Details

RePEc Handle
repec:ucp:ecdecc:doi:10.1086/674102
Journal Field
Development
Author Count
2
Added to Database
2026-01-25