Safety Nets or Social Insurance in the Presence of Poverty Traps? Evidence from Southern Ethiopia

Author(s):  
Paulo Santos ◽  
Christopher B. Barrett
2017 ◽  
Vol 9 (3) ◽  
pp. 168-198 ◽  
Author(s):  
Tatyana Deryugina

Little is known about the fiscal costs of natural disasters, especially regarding social safety nets that do not specifically target extreme weather events. This paper shows that US hurricanes lead to substantial increases in non-disaster government transfers, such as unemployment insurance and public medical payments, in affected counties in the decade after a hurricane. The present value of this increase significantly exceeds that of direct disaster aid. This implies, among other things, that the fiscal costs of natural disasters have been significantly underestimated and that victims in developed countries are better insured against them than previously thought. (JEL H51, H53, H84, J65, Q54)


2009 ◽  
Vol 14 (3) ◽  
pp. 305-322 ◽  
Author(s):  
PHILIPPE DELACOTE

ABSTRACTCommon property resources are often used by households of developing countries as insurance in case of economic stress. The aim of this paper is to consider the potential poverty-trap implications of this use. If the capacity of the resource is low, or if the population in need of insurance is too large, the households are trapped in CPR extraction activity and cannot get more than their subsistence requirement. In this context, cooperation between households and the introduction of a cooperative insurance mechanism may sustain an equilibrium outside the poverty trap and relax pressure on the resource. Moreover, private insurance schemes could also be a potential solution to this poverty trap.


2009 ◽  
Author(s):  
Laurie A. Burke ◽  
Robert A. Neimeyer ◽  
Meghan McDevitt-Murphy ◽  
Maria R. Ippolito ◽  
Jessica G. Van Dyke
Keyword(s):  

Author(s):  
Martin Ravallion ◽  
Jyotsna Jalan
Keyword(s):  

Sign in / Sign up

Export Citation Format

Share Document