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Social protection in a crisis: Argentina’s Jefes y Jefas


Materials

Paper (179Kb)

Apri 13, 2004
12:30 - 2:00 PM
Speaker: Emanuela Galasso (DECRG)

Emanuela Galasso and Martin Ravallion's paper, available in the highlight box to the right assesses the impact of Argentina's main social policy response to the severe economic crisis of 2002. The program aimed to provide direct income support for families with dependents for whom the head had become unemployed due to the crisis. Counterfactual comparisons are based on a matched subset of applicants not yet receiving the program. Panel data spanning the crisis are also used.

The findings are that the program reduced aggregate unemployment, though it attracted as many people into the workforce from inactivity as it did people who would have been otherwise unemployed. While there was substantial leakage to formally ineligible families, and incomplete coverage of those eligible, the program did partially compensate many losers from the crisis and reduced extreme poverty. The main policy conclusion is that overall the program does appear to have contributed to social protection during the crisis, despite the fact that it's actual implementation differed from its design. Emanuela also presented some of the current discussions about how the program might be phased out after the crisis.

Use the free Adobe Acrobat Reader to view the PDF file in the highlight box to the right.


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