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Does the child support grant incentivise childbirth in South Africa?

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  • Oyenubi, Adeola
  • Kollamparambil, Umakrishnan

Abstract

This paper considers the perverse incentive that can be created for poor households that are benefitting from the South African Child Support Grant (CSG). We acknowledge the fact that the CSG has been successful in improving child outcomes. However, if caregivers see the CSG as a livelihood strategy and respond with multiple births, this will jeopardise the long-term fiscal sustainability of the grant. Such an incentive may also perpetuate poverty and inequality, which will defeat the very purpose the CSG is meant to achieve.

Suggested Citation

  • Oyenubi, Adeola & Kollamparambil, Umakrishnan, 2022. "Does the child support grant incentivise childbirth in South Africa?," Economic Analysis and Policy, Elsevier, vol. 73(C), pages 812-825.
    • Handle: RePEc:eee:ecanpo:v:73:y:2022:i:c:p:812-825
    DOI: 10.1016/j.eap.2022.01.005
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    More about this item

    Keywords

    Social transfers; Poverty; Provision and effects of welfare programmes; Count models; Instrumental variable;
    All these keywords.

    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis

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