Long-Term Effects of Temporary Income Shocks on Food Consumption and Subjective Well-Being |
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Authors: | Smriti Tiwari |
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Affiliation: | Department of Economics, Skidmore College, Saratoga Springs, NY, USA |
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Abstract: | A national level unconditional cash transfer programme, Bantuan Langsung Tunai (BLT), in Indonesia allows an empirical assessment on whether there are long-term benefits in terms of food consumption and overall well-being. The results show that a positive albeit temporary income shock increases the quantity of food consumed by the poorest households and the overall subjective well-being among the poorest recipients. It is also found that poor households are more likely to invest in farm and non-farm businesses, which in turn helps them sustain a higher level of food consumption and overall satisfaction months after the end of the programme. |
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