The Distributional Consequences of Group Procurement

Christian, Paul

The Distributional Consequences of Group Procurement

2015

Christian, Paul

Public transfer programs that allow beneficiaries to choose the transferred good may be more efficient, but the poorest beneficiaries may not participate if the good chosen is too costly. A model shows that program targeting and consumption impacts are tied to selected quality of the provided good. Evidence from a randomized trial in rural India in which groups of beneficiaries choose the variety of rice to be offered as a subsidized loan confirms that choosing lower cost goods self-targets the program towards the poorest beneficiaries. Consumption impacts are biggest for wealthiest households and may be negative for moderately poor households.

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AGROVOC Keywords

agricultural economics agricultural production cap consumers consumption cooking corruption credit debt demand distribution evaluation expenditure food food aid food consumption food insecurity food security foods household expenditure households impacts income indicators inflation interest rates livelihoods maize marginal utility market prices markets measurement nutritive value participation poverty prices purchasing quality research rice staple foods statistics storage subsidies supply surplus surveys targeting welfare wheat

Bibliographic information

Other Subjects

Wealth; Expenditures; Participation rates; Tying; Price; Feedback; Choice; Subsidy; Incidence of poverty; Interest rate; Grains; Criteria; Functional forms; Utility functions; Consumption levels; Expenditure distribution; Wealthy households; Control groups; Substitution; Food subsidy; Distribution of income; Theory; Market; Value; Self help groups; Total consumption; Household expenditures; Food transfers; Substitute; Econometric analysis; Consumption increases; Price subsidies; Market price; Budget constraint; Utility; Reduction in consumption; Household debt; Goods; Outcomes; Food needs; Household wealth; Program evaluation; Food assistance programs; Change in consumption; Utility function; Individual households; Normal good; General equilibrium; Total expenditure; Surplus value; Shg; Inferior goods; Programs; Distribution of wealth; Good; Price variation; Marginal utility of consumption; Intervention; Product; Food subsidies; Variables; Marginal cost; Food consumption patterns; Consumer price; Wholesalers

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In AGRIS since: 2021-06-15

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http://hdl.handle.net/10986/24785

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