Debunking the Stereotype of the Lazy Welfare Recipient

CID Working Paper No. 308

Abhijit Banerjee, Rema Hanna, Gabriel Kreindler, and Benjamin A. Olken
October 2015


Targeted transfer programs for poor citizens have become increasingly common in the developing world. Yet, a common concern among policy makers - both in developing as well as developed countries - is that such programs tend to discourage work. We re-analyze the data from 7 randomized controlled trails of government-run cash transfer programs in six developing countries throughout the world, and find no systematic evidence that cash transfer programs discourage work.

Affiliated Research Program: Evidence for Policy Design