Working Paper: NBER ID: w17690
Authors: Veronica Amarante; Marco Manacorda; Edward Miguel; Andrea Vigorito
Abstract: There is limited empirical evidence on whether unrestricted cash social assistance to poor pregnant women improves children's birth outcomes. Using program administrative micro-data matched to longitudinal vital statistics on the universe of births in Uruguay, we estimate that participation in a generous cash transfer program led to a sizeable 15% reduction in the incidence of low birthweight. Improvements in mother nutrition and a fall in labor supply, out-of-wedlock births and mother's smoking all appear to contribute to the effect. We conclude that, by improving child health, unrestricted unconditional cash transfers may help break the cycle of intergenerational poverty.
Keywords: cash transfers; birth outcomes; low birthweight; social assistance; intergenerational poverty
JEL Codes: I38; J13; J88
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Participation in the cash transfer program (H53) | Improved maternal nutrition (I15) |
| Participation in the cash transfer program (H53) | Decrease in maternal smoking (J13) |
| Participation in the cash transfer program (H53) | Reduction in out-of-wedlock births (J13) |
| Increase in net household income (G59) | Improved child health (I19) |
| Reduction in the incidence of low birthweight (J89) | Improved child health (I19) |
| Participation in the cash transfer program (H53) | Reduction in the incidence of low birthweight (J89) |