In countries like India, female labor force participation is low despite rapid economic growth. In partnership with the government of Madhya Pradesh, researchers offered women individual bank accounts to evaluate the impact of increasing women’s financial control on labor market participation and earnings. Linking earnings from a government workfare program to women’s bank accounts led to increased employment both within the program and in the private sector.
Access to quality jobs is a pressing concern in Sub Saharan Africa. Researchers have partnered with Samasource and Innovations for Poverty Action to conduct a randomized evaluation measuring the impact of a digital vocational training program, with and without an employment program, on formal employment of young Kenyans.
Scholars going back to Adam Smith and Max Weber have hypothesized that religiosity promotes economic success. In the Philippines, researchers conducted a randomized evaluation to measure the impact of an evangelical Protestant religious values and theology education program on individuals’ economic and subjective wellbeing. Results demonstrated that the program increased religiosity and incomes, but decreased self-perception of relative economic wellbeing.
In Mexico, as in many other countries, retirement savings levels are low. The situation is worse for informal workers and the unemployed, who cannot rely on employer contributions to help build their nest eggs.
Helping the ultra-poor develop sustainable livelihoods is a global priority, but policymakers, practitioners, and funders are faced with competing ideas about the best way to reduce extreme poverty.
In sub-Saharan Africa, young girls drop out of school at higher rates than boys. A large portion of drop outs occur between primary and secondary school, when families in most countries have to start paying fees for their children to continue attending school. In Zambia, researchers designed and evaluated the impact of a training that taught adolescent girls non-cognitive skills to negotiate health and educational decisions with authority figures in their lives.
In Burkina Faso, as in many sub-Saharan countries, farmers struggle with low crop yields. Most established techniques to increase agricultural productivity rely on the use of technologies like fertilizer, but these inputs are expensive and inaccessible to many farmers in the region.
Public training sessions on democratic processes and ideals are a popular tool that aims to improve the performance of governments with “bottom-up” accountability via increased political knowledge and public participation. Researchers evaluated an accountability workshop program, which educated citizens on the distribution of extractive industry tax revenues and the formal means of local political participation.
Millions of people in developing countries work in the informal sector, due in part to significant barriers to registering one’s business and entering the formal sector. In this study, researchers carried out a randomized evaluation in Malawi, within the context of the World Bank Business Environment Strengthening Technical Assistance Project (BESTAP), to measure the impact of formalization on the business performance of micro-, small and medium enterprises (MSMEs).
While many low-income Americans have costly debt, they typically spend only a small proportion of their tax rebates to repay those debts. In partnership with Baltimore CASH, researchers are introducing postcards that encourage low-income tax filers to use their tax rebates to pay off debt, and varying the timing of postcard delivery, to evaluate the impact of these nudges on debt repayment.
Throughout Sub-Saharan Africa, early literacy remains very low, and existing interventions have not proven to be cost-effective.1 Children from rural areas are particularly at risk for below-average literacy skills due to a lack of age-appropriate literary resources, low rates of caregiver literacy, and low levels of teacher support.
Governments and organizations around the world employ media messaging to effect behavioral and attitudinal change. In Uganda, Innovations for Poverty Action worked with researchers to evaluate whether videos encouraging communities to speak out about and counter violence against women (VAW) in the household could change behavior, attitudes and norms related to VAW.
Pensions are seen as an important tool for reducing poverty among a growing elderly population worldwide. Researchers working with Innovations for Poverty Action and Paraguay’s Ministry of Finance to conduct a randomized evaluation of a national non-contributory pension program for low-income seniors. Researchers will measure the impacts of national pensions on senior citizens’ economic wellbeing and quality of life.
Rainfall insurance is a potentially cost-effective way to protect farmers in low-income countries from adverse weather events, but its adoption has been low. Marketing rainfall insurance to farmers’ urban relatives, who often help support their rural family members, may increase its use. Researchers partnered with micro-insurance organization Planet Guarantee to study the demand for a rainfall insurance product marketed to urban relatives of farmers in Burkina Faso.
Commitment savings accounts—which reward users for reaching savings goals and penalize them for withdrawing early—have the potential to help people reach their savings goals, but concern over having enough cash on hand to cover emergencies may discourage some from using them. Changing the design of commitment savings accounts to pay incentive bonuses up front rather than at the end of a defined period may encourage more people to take advantage of them.
Democratic elections are seen as a way of improving government accountability, but the means through which elections effect officials’ behavior is poorly understood, particularly in local elections where inter-party competition is rare. Researchers in Burkina Faso staged a community decision-making scenario with real financial stakes to understand how elections effect public embezzlement, social norms and trust in officials.
While evidence suggests that microloans are not effective in reducing poverty, providing microenterprises with larger loans may be more effective in helping them grow, reducing poverty, and increasing business opportunities for microfinance lenders.
Credit reports may help low-income borrowers better understand their credit histories and allow them to make better borrowing decisions. However, even when credit report tools are freely available, borrowers rarely check their scores. Awareness campaigns may make credit reports more salient to consumers and in turn increase the use of credit reports in financial decision-making.
Many pregnant women in sub-Saharan Africa lack access to high-quality health care. Researchers evaluated whether cash transfers and decision-making nudges could help low-income pregnant women in Nairobi, Kenya deliver where they wanted and in a high-quality facility. They found that cash transfers, conditioned on precommitment to a delivery facility, led to more effective birth planning and increased the likelihood that women delivered at higher-quality facilities.
Citizens in low-income countries are often unable to hold their government representatives accountable for the effective delivery of social services such as education and healthcare. Increases in mobile phone access present new opportunities for direct communication between citizens and government officials that may help governments respond to citizens’ needs more effectively.