Paper short abstract:

This study examines how contextual factors affect poverty eradication policies across geographic clusters. The findings suggest that the heterogeneous impacts of antipoverty policies depend in part on the energy infrastructure available. Contextual factors matter for poverty eradication.

Paper long abstract:

How much are people in poverty to 'blame' for the results of poverty eradication policies?

Are there intervening factors that may impact the success of such policies? This study addresses these questions by examining how contextual factors impact the effects of a cash transfer program across geographic clusters in Brazil.

Extensive research has been conducted to evaluate the impact of conditional cash transfer programs on human development. The literature shows that, at the national level, such programs have a positive impact on numerous indicators related to health, education and poverty. Less evidence is available on the heterogeneous effects of these programs, beyond urban versus rural variations. I explore the effects of national level policies across geographical clusters and, specifically, how differences in energy infrastructure affect their success.

The results of this study show that the effects of an anti poverty policy vary greatly across geographic clusters and that such differences are due in part to the energy infrastructure. They also show that while energy infrastructure does not appear to affect significantly intermediate outcomes (e.g. school attendance), it is relevant for the ultimate goals of these programs (e.g. health status). These findings suggest that the ability of the population in poverty to benefit from conditional cash transfer programs aimed at poverty eradication vary according to the local infrastructure: while cash transfers may help to change social and consumption patterns, access to energy services is also critical. Poverty eradication requires that both social and energy policies work together.