Talk

Do Cash Transfers Save Lives?

Professor Edward Miguel had the honor of delivering the 2024 Berkeley Distinguished Faculty Lecture in the Social Sciences, a prestigious annual event at UC Berkeley that celebrates the contributions of the university’s leading social scientist scholars who have made significant advancements in their fields.

In a thought-provoking lecture, Ted shared groundbreaking insights from his research on the life-saving potential of cash transfers in rural Kenya. The study, conducted in collaboration with NGO GiveDirectly, provided unconditional cash transfers to the poorest households in Western Kenya, and revealed profound health impacts. The most striking findings revealed that cash transfers led to a 40% reduction in infant mortality, saving an estimated 100 lives during the period of the cash transfer. This dramatic improvement was attributed to increased access to healthcare, particularly for pregnant women and newborns, highlighting the critical interplay between financial resources and proximity to medical facilities. Miguel emphasized that while cash alone had limited long-term effects, its combination with accessible healthcare services created a powerful, cost-effective intervention.

Ted Miguel’s research also underscored the importance of timing and targeting in development programs. The study revealed that cash transfers were most effective when provided during pregnancy and childbirth, with little impact if distributed before conception or after infancy. Additionally, households living closer to hospitals saw significantly greater health benefits, suggesting that infrastructure investments are essential to maximizing the impact of cash transfers. The study’s findings challenge traditional approaches to foreign aid, advocating for a more nuanced strategy that combines direct financial support with investments in public goods like healthcare. His work not only demonstrates the transformative potential of cash transfers but also calls for a reevaluation of how development resources are allocated to achieve the greatest impact. By blending rigorous data collection with innovative research design, Ted offered a compelling blueprint for addressing global poverty and improving health outcomes in low-income settings. The audience engaged with lots of questions after the session.

Do Cash Transfers Improve Birth Outcomes? Evidence from Matched Vital Statistics, Social Security and Program DataPublished PaperHealthEducation and Human CapitalOther2016
Go to Do Cash Transfers Improve Birth Outcomes? Evidence from Matched Vital Statistics, Social Security and Program Data
General Equilibrium Effects of Cash Transfers: Experimental Evidence from KenyaPublished PaperAfrican DevelopmentOtherResearch Methodology2022
Go to General Equilibrium Effects of Cash Transfers: Experimental Evidence from Kenya
Risky Transportation Choices and the Value of a Statistical LifePublished PaperAfrican DevelopmentHealthEducation and Human CapitalOther2017
Go to Risky Transportation Choices and the Value of a Statistical Life
Using RCTs to Estimate Long-Run Impacts in Development EconomicsPublished PaperAfrican DevelopmentEducation and Human CapitalHealthResearch Methodology2019
Go to Using RCTs to Estimate Long-Run Impacts in Development Economics

Can Cash Transfers Save Lives? Evidence from a Large-Scale Experiment in KenyaSociedad de Economistas del UruguayDecember 21, 2023
Go to Can Cash Transfers Save Lives? Evidence from a Large-Scale Experiment in Kenya

Backstory: Edward Miguel and Paul Niehaus on the General Equilibrium Effects of Cash Transfers
Go to Backstory: Edward Miguel and Paul Niehaus on the General Equilibrium Effects of Cash Transfers
Cash transfers have been thoroughly and rigorously shown to reduce poverty and improve livesGiveDirectly
Go to Cash transfers have been thoroughly and rigorously shown to reduce poverty and improve lives
Study Finds Cash Transfers To Poor Have Positive Ripple EffectCBS
Go to Study Finds Cash Transfers To Poor Have Positive Ripple Effect