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Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

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Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#2
This is only "surprising" to those who think they know how other people should live. I've always favored this approach (a minimum income, or negative income tax .. whatever you want to call it) as a replacement to all other forms of welfare.

If I am to spend my tax money on those in need, I do not want more than half of it going to upper middle class bureaucrats and middle class administrators.

Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#3
If you find this persuasive, consider donating to http://www.givedirectly.org/, which performs unconditional cash transfers to the poorest people in Kenya.

Give Directly is the subject of this writeup[1] on GiveWell, and this excellent episode[2] of This American Life.

[1]: http://www.givewell.org/international/top-charities/give-dir...

[2]: http://www.thisamericanlife.org/radio-archives/episode/503/i...

Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#4

This is only "surprising" to those who think they know how other people should live. I've always favored this approach (a minimum income, or negative income tax .. whatever you want to call it) as a replacement to all other forms of welfare. If I am to spend my tax money on those in need, I do not want more than half of it going to upper middle class bureaucrats and middle class administrators.

I think with that last sentence you mean 80%. 20% payout to the end beneficiary is quite common.

Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#5

This is only "surprising" to those who think they know how other people should live. I've always favored this approach (a minimum income, or negative income tax .. whatever you want to call it) as a replacement to all other forms of welfare. If I am to spend my tax money on those in need, I do not want more than half of it going to upper middle class bureaucrats and middle class administrators.

Exactly, the idea that someone should buy food for their kid rather than a big screen TV is extremely paternalistic.

Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#6

This is only "surprising" to those who think they know how other people should live. I've always favored this approach (a minimum income, or negative income tax .. whatever you want to call it) as a replacement to all other forms of welfare. If I am to spend my tax money on those in need, I do not want more than half of it going to upper middle class bureaucrats and middle class administrators.

I think with that last sentence you mean 80%. 20% payout to the end beneficiary is quite common.

That's in charity organizations, doubt that's true for government. Anyone have actual numbers on typical government overhead?

Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#7
post #5

This is only "surprising" to those who think they know how other people should live. I've always favored this approach (a minimum income, or negative income tax .. whatever you want to call it) as a replacement to all other forms of welfare. If I am to spend my tax money on those in need, I do not want more than half of it going to upper middle class bureaucrats and middle class administrators.

Exactly, the idea that someone should buy food for their kid rather than a big screen TV is extremely paternalistic.

[deleted]

Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#8
post #3

If you find this persuasive, consider donating to http://www.givedirectly.org/ , which performs unconditional cash transfers to the poorest people in Kenya. Give Directly is the subject of this writeup[1] on GiveWell, and this excellent episode[2] of This American Life. [1]: http://www.givewell.org/international/top-charities/give-dir... [2]: http://www.thisamericanlife.org/radio-archives/episode/503/i...

Are there any similar programs for people in developed countries?

Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#9

Earlier quoted context omitted.

I think with that last sentence you mean 80%. 20% payout to the end beneficiary is quite common.

That's in charity organizations, doubt that's true for government. Anyone have actual numbers on typical government overhead?

Depends on the program, but generally it ranges from 0 to 20%, most being right around 10%. This changes when republicans win on their "voucher" planks, when suddenly the overhead skyrockets because there are for-profit entities in the loop.

Re: Research Finds Outright Grants of Cash are an Effective Form of Aid to the Poor

#10
I think the context is super important here. "gave cash to groups of young people so they could learn a trade and start their own businesses." In Uganda.

These people were pretty much starving before. “These were mostly farmers who had work 10 to 20 hours a week and earned about $1 a day,"

With different people, culture, attitudes, environment the effect might be completely different in America, for example.

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