It’s hard to argue against the idea that giving cash to someone in need is the best you can do for that person in most circumstances: money maximizes your choice set and any conditions, strings attached, etc. makes that set smaller. With the advance of mobile technologies and better, bigger data, you can now send someone anywhere in the world money and make that person’s life instantly better – at least in the short run. But, what if I told you that with every dollar you send to one poor person, you’re taking away food from a few other people? How should we evaluate the impact of your transfer then?
This is a guest post by Craig McIntosh and Andrew Zeitlin.
We are grateful to have this chance to speak about our experiences with USAID's pilot of benchmarking its traditional development assistance using unconditional cash transfers. Along with the companion benchmarking study that is still in the field (that one comparing a youth workforce readiness to cash) we have spent the past two and a half years working to design these head-to-head studies, and are glad to have a chance to reflect on the process. These are complex studies with many stakeholders and lots of collective agreements over communications, and our report to USAID, released yesterday, reflects that. Here, we convey our personal impressions as researchers involved in the studies.