DID PUBLIC CASH TRANSFER CROWD OUT INTER-HOUSEHOLD TRANSFERS IN INDONESIA? EVIDENCE FROM "BANTUAN LANGSUNG TUNAI /BLT"

INFO ARTHA

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Title DID PUBLIC CASH TRANSFER CROWD OUT INTER-HOUSEHOLD TRANSFERS IN INDONESIA? EVIDENCE FROM "BANTUAN LANGSUNG TUNAI /BLT"
 
Creator Wulandari, Corry
Baryshnikova, Nadezhda
 
Subject public transfers, private transfer, BLT, poor, DID, Coarsened Exact Matching
 
Description In 2005 the Government of Indonesia introduced an unconditional cash transfer program called the ‘Bantuan Langsung Tunai’ (BLT), aimed at assisting poor people who were suffering from the removal of a fuel subsidy. There are concerns, however, that the introduction of a public transfer system can negatively affect inter-household transfers through the crowding-out effect, which exists when donor households reduce the amount of their transfers in line with public transfers received from the government. The poor may not therefore have received any meaningful impact from the public cash transfer, as they potentially receive fewer transfers from inter-household private donors. For the government to design a public transfer system, it is necessary to properly understand the dynamics of private transfer behaviour. Hence, this study evaluates whether there exists a crowding-out effect of public transfers on inter-household transfers in Indonesia.Using data from the Indonesia Family Life Survey (IFLS) and by applying Coarsened Exact Matching (CEM) and Difference-in-differences (DID) approaches, this study found that the likelihood to receive transfers from other family members (non-co-resident) reduces when the household receives BLT. However, there is no significant impact of BLT on transfers from parents and friends.
 
Publisher Polytechnic of State Finance STAN
 
Contributor Universitas Indonesia
University of Adelaide
 
Date 2019-11-05
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://jurnal.pknstan.ac.id/index.php/JIA/article/view/571
10.31092/jia.v3i2.571
 
Source INFO ARTHA; Vol 3, No 2 (2019): NOVEMBER EDITION; 67-84
JURNAL INFO ARTHA; Vol 3, No 2 (2019): NOVEMBER EDITION; 67-84
2581-0839
0852-6737
10.31092/jia.v3i2
 
Language eng
 
Relation http://jurnal.pknstan.ac.id/index.php/JIA/article/view/571/359
http://jurnal.pknstan.ac.id/index.php/JIA/article/downloadSuppFile/571/63
 
Rights Copyright (c) 2019 INFO ARTHA
http://creativecommons.org/licenses/by-nc-sa/4.0
 

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