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Building Resilience through Social Protection: Evidence from Malawi

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  • Frank Otchere
  • Sudhanshu Handa

Abstract

We apply a well-known resilience index developed by the FAO to data from a cash transfer evaluation in Malawi to address two key questions: Is the FAO index a valid measure of resilience? Can an unconditional cash transfer significantly boost household resilience? Our answer to both these questions is affirmative. The resilience index positively predicts future positive coping behaviour among households (predictive validity) and is a stronger predictor of future coping than consumption or assets. We then find that the unconditional cash transfer increased the resilience index by 12 points, or 30 per cent over the baseline mean index value. Results imply that small, regular, predictable cash transfer payments to ultra-poor households not only protect current consumption but can also build resilience and protect against future shocks.

Suggested Citation

  • Frank Otchere & Sudhanshu Handa, 2022. "Building Resilience through Social Protection: Evidence from Malawi," Journal of Development Studies, Taylor & Francis Journals, vol. 58(10), pages 1958-1980, October.
    • Handle: RePEc:taf:jdevst:v:58:y:2022:i:10:p:1958-1980
    DOI: 10.1080/00220388.2022.2075733
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    Cited by:

    1. Barituka Bekee & Corinne Valdivia, 2023. "Resilience of Rural Households: Insights from a Multidisciplinary Literature," Sustainability, MDPI, vol. 15(6), pages 1-15, March.
    2. Lambon-Quayefio, Monica & Peterman, Amber & Handa, Sudhanshu & Molotsky, Adria & Otchere, Frank & Mvula, Peter & Tsoka, Maxton & de Hoop, Jacobus & Angeles, Gustavo & Kilburn, Kelly & Milazzo, Annamar, 2024. "Unconditional cash transfers and safe transitions to adulthood in Malawi," World Development, Elsevier, vol. 175(C).
    3. Abay, Kibrom A. & Abay, Mehari H. & Berhane, Guush & Chamberlin, Jordan, 2022. "Social protection and resilience: The case of the productive safety net program in Ethiopia," Food Policy, Elsevier, vol. 112(C).
    4. Egamberdiev, Bekhzod & Bobojonov, Ihtiyor & Kuhn, Lena & Glauben, Thomas, 2023. "Household resilience capacity and food security: Evidence from Kyrgyzstan," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 15(4), pages 967-988.

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