Changing Households’ Investments and Aspirations through Social Interactions : Evidence from a Randomized Transfer Program
Low aspirations can limit households investments and contribute to sustained poverty. Vice versa, increased aspirations can lead to investment and upward mobility. Yet how aspirations are formed is not always well understood. This paper analyzes t...
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| Format: | Policy Research Working Paper |
| Language: | English |
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2012
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| Online Access: | http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20091120144603 http://hdl.handle.net/10986/4330 |
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okr-10986-43302021-04-23T14:02:17Z Changing Households’ Investments and Aspirations through Social Interactions : Evidence from a Randomized Transfer Program Macours, Karen Vakis, Renos AFFILIATED ORGANIZATIONS ASSET BASE ATTENDANCE REQUIREMENT ATTRITION BANK POLICY BENEFICIARIES BENEFICIARY BEQUEST CAPITAL INVESTMENT CAPITAL INVESTMENTS CASH TRANSFER CASH TRANSFERS CHECKS COGNITIVE DEVELOPMENT COMMUNITIES DESCRIPTION DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DWELLINGS EARLY CHILDHOOD DEVELOPMENT ECONOMIC THEORY ECONOMICS EDUCATION SPENDING EDUCATIONAL OUTCOMES EMPLOYMENT ENROLLMENT EQUALITY EXPENDITURES FEDERAL RESERVE FEDERAL RESERVE BANK FEMALE FINANCIAL SUPPORT FREE PRESS GAME THEORY HOLDINGS HOMES HOUSEHOLD INCOME HOUSEHOLDS HOUSES HOUSING HUMAN CAPITAL INCOME LEVEL INCOME LEVELS INFORMATION ASYMMETRIES INTERNATIONAL BANK INTERVENTION INTERVENTIONS INVESTING INVESTMENT BEHAVIOR INVESTMENT GRANTS LABOR MARKET LEADERSHIP LEARNING LIQUIDITY LIQUIDITY CONSTRAINTS LIVING STANDARDS LOCAL ECONOMY MARKET ACCESS MENTAL HEALTH MICROCREDIT MICROFINANCE MOBILITY MOTIVATION NEIGHBORHOOD NUMERACY NUTRITION POLITICAL ECONOMY PRICE CHANGES PRIMARY CAREGIVERS PRIMARY SCHOOL PRODUCTIVE CAPITAL PRODUCTIVE INVESTMENT PRODUCTIVE INVESTMENTS PROFITABILITY REGULAR ATTENDANCE RETURNS RETURNS TO EDUCATION RISK MANAGEMENT RISK MANAGEMENT STRATEGIES SAFETY SAFETY NET SCHOOL ATTENDANCE SCHOOLING SKILLS TRAINING SOCIAL MOVEMENTS SOCIAL NETWORKS SOCIAL SCIENCE STOCKS TEACHERS TRANSACTION TRANSACTION COSTS TRANSPARENCY TRUST FUNDS VOCATIONAL TRAINING WAGES Low aspirations can limit households investments and contribute to sustained poverty. Vice versa, increased aspirations can lead to investment and upward mobility. Yet how aspirations are formed is not always well understood. This paper analyzes the role of social interactions in determining aspirations in the context of a program aimed at increasing households' investments. The causal effect of social interactions is identified through the randomized assignment of leaders and other beneficiaries to three different interventions within each treatment community. Social interactions are found to affect households attitudes toward the future and to amplify program impacts on investments in human capital and productive activities. The empirical evidence indicates that communication with motivated and successful nearby leaders can lead to higher aspirations and corresponding investment behavior. 2012-03-19T19:14:07Z 2012-03-19T19:14:07Z 2009-11-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20091120144603 http://hdl.handle.net/10986/4330 English Impact Evaluation series ; no. IE 41,Policy Research working paper ; no. WPS 5137 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper The World Region The World Region |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
AFFILIATED ORGANIZATIONS ASSET BASE ATTENDANCE REQUIREMENT ATTRITION BANK POLICY BENEFICIARIES BENEFICIARY BEQUEST CAPITAL INVESTMENT CAPITAL INVESTMENTS CASH TRANSFER CASH TRANSFERS CHECKS COGNITIVE DEVELOPMENT COMMUNITIES DESCRIPTION DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DWELLINGS EARLY CHILDHOOD DEVELOPMENT ECONOMIC THEORY ECONOMICS EDUCATION SPENDING EDUCATIONAL OUTCOMES EMPLOYMENT ENROLLMENT EQUALITY EXPENDITURES FEDERAL RESERVE FEDERAL RESERVE BANK FEMALE FINANCIAL SUPPORT FREE PRESS GAME THEORY HOLDINGS HOMES HOUSEHOLD INCOME HOUSEHOLDS HOUSES HOUSING HUMAN CAPITAL INCOME LEVEL INCOME LEVELS INFORMATION ASYMMETRIES INTERNATIONAL BANK INTERVENTION INTERVENTIONS INVESTING INVESTMENT BEHAVIOR INVESTMENT GRANTS LABOR MARKET LEADERSHIP LEARNING LIQUIDITY LIQUIDITY CONSTRAINTS LIVING STANDARDS LOCAL ECONOMY MARKET ACCESS MENTAL HEALTH MICROCREDIT MICROFINANCE MOBILITY MOTIVATION NEIGHBORHOOD NUMERACY NUTRITION POLITICAL ECONOMY PRICE CHANGES PRIMARY CAREGIVERS PRIMARY SCHOOL PRODUCTIVE CAPITAL PRODUCTIVE INVESTMENT PRODUCTIVE INVESTMENTS PROFITABILITY REGULAR ATTENDANCE RETURNS RETURNS TO EDUCATION RISK MANAGEMENT RISK MANAGEMENT STRATEGIES SAFETY SAFETY NET SCHOOL ATTENDANCE SCHOOLING SKILLS TRAINING SOCIAL MOVEMENTS SOCIAL NETWORKS SOCIAL SCIENCE STOCKS TEACHERS TRANSACTION TRANSACTION COSTS TRANSPARENCY TRUST FUNDS VOCATIONAL TRAINING WAGES |
| spellingShingle |
AFFILIATED ORGANIZATIONS ASSET BASE ATTENDANCE REQUIREMENT ATTRITION BANK POLICY BENEFICIARIES BENEFICIARY BEQUEST CAPITAL INVESTMENT CAPITAL INVESTMENTS CASH TRANSFER CASH TRANSFERS CHECKS COGNITIVE DEVELOPMENT COMMUNITIES DESCRIPTION DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DWELLINGS EARLY CHILDHOOD DEVELOPMENT ECONOMIC THEORY ECONOMICS EDUCATION SPENDING EDUCATIONAL OUTCOMES EMPLOYMENT ENROLLMENT EQUALITY EXPENDITURES FEDERAL RESERVE FEDERAL RESERVE BANK FEMALE FINANCIAL SUPPORT FREE PRESS GAME THEORY HOLDINGS HOMES HOUSEHOLD INCOME HOUSEHOLDS HOUSES HOUSING HUMAN CAPITAL INCOME LEVEL INCOME LEVELS INFORMATION ASYMMETRIES INTERNATIONAL BANK INTERVENTION INTERVENTIONS INVESTING INVESTMENT BEHAVIOR INVESTMENT GRANTS LABOR MARKET LEADERSHIP LEARNING LIQUIDITY LIQUIDITY CONSTRAINTS LIVING STANDARDS LOCAL ECONOMY MARKET ACCESS MENTAL HEALTH MICROCREDIT MICROFINANCE MOBILITY MOTIVATION NEIGHBORHOOD NUMERACY NUTRITION POLITICAL ECONOMY PRICE CHANGES PRIMARY CAREGIVERS PRIMARY SCHOOL PRODUCTIVE CAPITAL PRODUCTIVE INVESTMENT PRODUCTIVE INVESTMENTS PROFITABILITY REGULAR ATTENDANCE RETURNS RETURNS TO EDUCATION RISK MANAGEMENT RISK MANAGEMENT STRATEGIES SAFETY SAFETY NET SCHOOL ATTENDANCE SCHOOLING SKILLS TRAINING SOCIAL MOVEMENTS SOCIAL NETWORKS SOCIAL SCIENCE STOCKS TEACHERS TRANSACTION TRANSACTION COSTS TRANSPARENCY TRUST FUNDS VOCATIONAL TRAINING WAGES Macours, Karen Vakis, Renos Changing Households’ Investments and Aspirations through Social Interactions : Evidence from a Randomized Transfer Program |
| geographic_facet |
The World Region The World Region |
| relation |
Impact Evaluation series ; no. IE 41,Policy Research working paper ; no. WPS 5137 |
| description |
Low aspirations can limit households
investments and contribute to sustained poverty. Vice versa,
increased aspirations can lead to investment and upward
mobility. Yet how aspirations are formed is not always well
understood. This paper analyzes the role of social
interactions in determining aspirations in the context of a
program aimed at increasing households' investments.
The causal effect of social interactions is identified
through the randomized assignment of leaders and other
beneficiaries to three different interventions within each
treatment community. Social interactions are found to affect
households attitudes toward the future and to amplify
program impacts on investments in human capital and
productive activities. The empirical evidence indicates that
communication with motivated and successful nearby leaders
can lead to higher aspirations and corresponding investment behavior. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Macours, Karen Vakis, Renos |
| author_facet |
Macours, Karen Vakis, Renos |
| author_sort |
Macours, Karen |
| title |
Changing Households’ Investments and Aspirations through Social Interactions : Evidence from a Randomized Transfer Program |
| title_short |
Changing Households’ Investments and Aspirations through Social Interactions : Evidence from a Randomized Transfer Program |
| title_full |
Changing Households’ Investments and Aspirations through Social Interactions : Evidence from a Randomized Transfer Program |
| title_fullStr |
Changing Households’ Investments and Aspirations through Social Interactions : Evidence from a Randomized Transfer Program |
| title_full_unstemmed |
Changing Households’ Investments and Aspirations through Social Interactions : Evidence from a Randomized Transfer Program |
| title_sort |
changing households’ investments and aspirations through social interactions : evidence from a randomized transfer program |
| publishDate |
2012 |
| url |
http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20091120144603 http://hdl.handle.net/10986/4330 |
| _version_ |
1764390955698356224 |