Testing Paternalism: Cash versus In-Kind Transfers

A-Tier
Journal: American Economic Journal: Applied Economics
Year: 2014
Volume: 6
Issue: 2
Pages: 195-230

Score contribution per author:

4.036 = (α=2.02 / 1 authors) × 2.0x A-tier

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

Abstract

Welfare programs are often implemented in-kind to promote outcomes that might not be realized under cash transfers. This paper tests whether such paternalistically motivated transfers are justified compared to cash, using a randomized controlled trial of Mexico's food assistance program. In relation to total food consumption, the in-kind transfer was infra-marginal and nondistorting. However, the transfer contained ten food items, and there was large variation in the extent to which individual foods were extra-marginal and distorting. Small differences in the nutritional intake of women and children under in-kind transfers did not lead to meaningful differential improvements in health outcomes compared to cash.

Technical Details

RePEc Handle
repec:aea:aejapp:v:6:y:2014:i:2:p:195-230
Journal Field
General
Author Count
1
Added to Database
2026-01-25