Should we rely on cash versus in-kind transfers to raise basic expenditures of poor families?
Date
2008-10
Authors
Manipon, Trishia Anne J.
Cervantes, Karen Ann D.
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Abstract
This paper aims to determine whether or not poor households spend cash transfers on basic expenditures. Using the 2003 Family Income Expenditure Survey and the definition of basic expenditure set by the National Statistics Coordination Board, a multiple regression model is used to analyze the effect of cash transfers among different income levels on the proportion of total expenditure allocated to basic expenditure. The results suggest that cash transfers received by different income levels have a positive effect on the proportion of basic expenditure over total expenditure. However, the same results suggest that transfers in kind received by households from poor households have a positive and even greater effect on basic expenditure them that arising from cash transfers.
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Keywords
Household expenditures, Household spending, Family expenditure, Welfare program, Basic expenditures, Social assistance