Cash, food, or vouchers? Evidence from a randomized experiment in northern Ecuador

https://doi.org/10.1016/j.jdeveco.2013.11.009Get rights and content
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Highlights

  • We assess the impacts and cost-effectiveness of cash, vouchers and food transfers.

  • All modalities significantly improve the quantity and quality of food consumed.

  • Food leads to significantly larger increases in calories consumed.

  • Vouchers lead to significantly larger increases in dietary diversity.

  • Food is the least cost-effective means of improving food security outcomes.

Abstract

The debate over whether to provide food-assistance and the form that this assistance should take has a long history in economics. Despite the ongoing debate, little rigorous evidence exists that compares food-assistance in the form of cash versus in-kind. This paper uses a randomized evaluation to assess the impacts and cost-effectiveness of cash, food vouchers, and food transfers. We find that all three modalities significantly improve the quantity and quality of food consumed. However, differences emerge in the types of food consumed with food transfers leading to significantly larger increases in calories consumed and vouchers leading to significantly larger increases in dietary-diversity.

JEL classification

D04
I38
O12

Keywords

Food assistance
Cash and in-kind transfers
Food security

Cited by (0)

This is a revised version of the December 2012 IFPRI discussion paper titled, “Cash, Food, or Vouchers?”