Social Protection in Niger : What Have Shocks and Time Got to Say?

Social protection programs, common in developing countries, can be wide ranging. Expenditures on social schemes are large, but their effectiveness and ability to act as safety nets against shocks can be limited. This paper devises a tractable empir...

Full description

Bibliographic Details
Main Authors: Annan, Francis, Sanoh, Aly
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2018
Subjects:
Online Access:http://documents.worldbank.org/curated/en/359581527602211287/Social-protection-in-Niger-what-have-shocks-and-time-got-to-say
http://hdl.handle.net/10986/29884
id okr-10986-29884
recordtype oai_dc
spelling okr-10986-298842021-06-08T14:42:46Z Social Protection in Niger : What Have Shocks and Time Got to Say? Annan, Francis Sanoh, Aly SOCIAL INVERVENTION SHOCKS VULNERABILITY INCENTIVES HOUSEHOLD CONSUMPTION POVERTY SOCIAL PROTECTION SAFETY NETS MIGRATION LABOR MARKET SOCIAL ASSISTANCE COPING STRATEGIES Social protection programs, common in developing countries, can be wide ranging. Expenditures on social schemes are large, but their effectiveness and ability to act as safety nets against shocks can be limited. This paper devises a tractable empirical framework to explore several hypotheses in social protection schemes in Niger. The analyses document two important results. First, non-poverty status and household consumption expenditures decline remarkably when exposed to extreme shocks, that is, declines between 31 and 48 percentage points and 24,278 and 47,549 CFA, respectively. In response, affected households employ a vector of strategies to deal with realized shocks, ranging from the use of livestock holdings to doing nothing. There is evidence of substitution across the shock-strategy set over time. Engaging in migration as a coping mechanism leads to worse household outcomes. This result can be explained by theories of asymmetric information between migrants and their families, and unfavorable labor market conditions at migrants' destination. Second, social transfers are crucial only in the second quarter of the calendar year. Social assistance provided within the second quarter appear to be effective on average and significantly dampens the impact of shocks on households' consumption and vulnerability. The paper interprets this finding as evidence against the long-standing incentive-hypothesis that providing social assistance is a disincentive for households to engage in possible coping strategies, and makes them more sensitive to external shocks for behavioral reasons. The results have important implications for the design and delivery of social assistance programs. 2018-06-18T20:01:23Z 2018-06-18T20:01:23Z 2018-05 Working Paper http://documents.worldbank.org/curated/en/359581527602211287/Social-protection-in-Niger-what-have-shocks-and-time-got-to-say http://hdl.handle.net/10986/29884 English Policy Research Working Paper;No. 8455 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Africa Niger
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic SOCIAL INVERVENTION
SHOCKS
VULNERABILITY
INCENTIVES
HOUSEHOLD CONSUMPTION
POVERTY
SOCIAL PROTECTION
SAFETY NETS
MIGRATION
LABOR MARKET
SOCIAL ASSISTANCE
COPING STRATEGIES
spellingShingle SOCIAL INVERVENTION
SHOCKS
VULNERABILITY
INCENTIVES
HOUSEHOLD CONSUMPTION
POVERTY
SOCIAL PROTECTION
SAFETY NETS
MIGRATION
LABOR MARKET
SOCIAL ASSISTANCE
COPING STRATEGIES
Annan, Francis
Sanoh, Aly
Social Protection in Niger : What Have Shocks and Time Got to Say?
geographic_facet Africa
Niger
relation Policy Research Working Paper;No. 8455
description Social protection programs, common in developing countries, can be wide ranging. Expenditures on social schemes are large, but their effectiveness and ability to act as safety nets against shocks can be limited. This paper devises a tractable empirical framework to explore several hypotheses in social protection schemes in Niger. The analyses document two important results. First, non-poverty status and household consumption expenditures decline remarkably when exposed to extreme shocks, that is, declines between 31 and 48 percentage points and 24,278 and 47,549 CFA, respectively. In response, affected households employ a vector of strategies to deal with realized shocks, ranging from the use of livestock holdings to doing nothing. There is evidence of substitution across the shock-strategy set over time. Engaging in migration as a coping mechanism leads to worse household outcomes. This result can be explained by theories of asymmetric information between migrants and their families, and unfavorable labor market conditions at migrants' destination. Second, social transfers are crucial only in the second quarter of the calendar year. Social assistance provided within the second quarter appear to be effective on average and significantly dampens the impact of shocks on households' consumption and vulnerability. The paper interprets this finding as evidence against the long-standing incentive-hypothesis that providing social assistance is a disincentive for households to engage in possible coping strategies, and makes them more sensitive to external shocks for behavioral reasons. The results have important implications for the design and delivery of social assistance programs.
format Working Paper
author Annan, Francis
Sanoh, Aly
author_facet Annan, Francis
Sanoh, Aly
author_sort Annan, Francis
title Social Protection in Niger : What Have Shocks and Time Got to Say?
title_short Social Protection in Niger : What Have Shocks and Time Got to Say?
title_full Social Protection in Niger : What Have Shocks and Time Got to Say?
title_fullStr Social Protection in Niger : What Have Shocks and Time Got to Say?
title_full_unstemmed Social Protection in Niger : What Have Shocks and Time Got to Say?
title_sort social protection in niger : what have shocks and time got to say?
publisher World Bank, Washington, DC
publishDate 2018
url http://documents.worldbank.org/curated/en/359581527602211287/Social-protection-in-Niger-what-have-shocks-and-time-got-to-say
http://hdl.handle.net/10986/29884
_version_ 1764470626437824512