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The effects of conditional cash transfers on social engagement and trust in institutions: evidence from Peru's Juntos Programme

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  • Camacho, Luis A.

Abstract

Conditional cash transfer (CCT) programmes have rapidly expanded throughout the developing world. These programmes have been relatively effective at improving living standards and producing behavioural changes expected to improve human capital among beneficiary children. Little is known, however, about the effect of CCTs on outcomes other than those they intend to modify but which may nonetheless be important for achieving these programmes’ longer-term objectives and improving development prospects more generally. This paper addresses this gap by evaluating the effects of CCTs on membership in social organisations and trust in institutions, using evidence from Peru’s Juntos programme. The analysis employs household- and district-level data and a difference-in-differences strategy to estimate the programme effects, focusing on the 133 districts in which the programme was implemented during 2006. Its effects among both eligible and non-eligible households are estimated. The programme does not have effects on membership in social organisations on either group of households. It increases trust in institutions related to programme conditions among the eligible population, but it decreases trust in the ombudsman’s office, a public institution that has channelled grievances arising from exclusion from the programme. While the results regarding eligible households are encouraging news for proponents, those pertaining to non-eligible households reveal a negative unintended consequence that should be a source of concern.

Suggested Citation

  • Camacho, Luis A., 2014. "The effects of conditional cash transfers on social engagement and trust in institutions: evidence from Peru's Juntos Programme," IDOS Discussion Papers 24/2014, German Institute of Development and Sustainability (IDOS).
    • Handle: RePEc:zbw:diedps:242014
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    Cited by:

    1. Francesco Burchi & Federico Roscioli, 2022. "Can Integrated Social Protection Programmes Affect Social Cohesion? Mixed-Methods Evidence from Malawi," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(3), pages 1240-1263, June.
    2. Fabianna Bacil & Beatriz Burattini & João Pedro Lang & Camila Rolon & Merindah Loessl, 2022. "Las transferencias en efectivo con enfoque universal en América Latina y el Caribe," Research Report Spanish (Country Study) 65, International Policy Centre for Inclusive Growth.
    3. Evans, David K. & Holtemeyer, Brian & Kosec, Katrina, 2019. "Cash transfers increase trust in local government," World Development, Elsevier, vol. 114(C), pages 138-155.
    4. Ankush Goyal & Rajender Kumar, 2022. "Does Social Welfare Programmes Influence Households Trust in Local Administration and Their Political Participation? Evidence from the MGNREG Scheme in India," Indian Journal of Human Development, , vol. 16(3), pages 602-617, December.
    5. Altenburg, Tilman, 2014. "From combustion engines to electric vehicles: a study of technological path creation and disruption in Germany," IDOS Discussion Papers 29/2014, German Institute of Development and Sustainability (IDOS).
    6. Gaentzsch, Anja, 2017. "Do conditional cash transfers (CCT) raise educational attainment? A case study of Juntos in Peru," Discussion Papers 2017/9, Free University Berlin, School of Business & Economics.
    7. Stefan Beierl & Marina Dodlova, 2022. "Public Works Programmes and Cooperation for the Common Good: Evidence from Malawi," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(3), pages 1264-1284, June.
    8. Loewe, Markus & Zintl, Tina & Fritzenkötter, Jörn & Gantner, Verena & Kaltenbach, Regina & Pohl, Lena, 2020. "Community effects of cash-for-work programmes in Jordan: Supporting social cohesion, more equitable gender roles and local economic development in contexts of flight and migration," IDOS Studies, German Institute of Development and Sustainability (IDOS), volume 103, number 103, July.
    9. Francesco Burchi & Markus Loewe & Daniele Malerba & Julia Leininger, 2022. "Disentangling the Relationship Between Social Protection and Social Cohesion: Introduction to the Special Issue," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(3), pages 1195-1215, June.
    10. Camacho, Luis A. & Kreibaum, Merle, 2017. "Cash transfers, food security and resilience in fragile contexts: general evidence and the German experience," IDOS Discussion Papers 9/2017, German Institute of Development and Sustainability (IDOS).
    11. Attanasio, Orazio & Polania-Reyes, Sandra & Pellerano, Luca, 2015. "Building social capital: Conditional cash transfers and cooperation," Journal of Economic Behavior & Organization, Elsevier, vol. 118(C), pages 22-39.

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