Conditional Cash Transfer Programs Overview Case Study

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Conditional Cash Transfer (CCT) programs are more effective than similar programs that do not involve cash transfers and conditions because they increase the living standards of individuals and break intergenerational poverty cycles in societies. By using CCT programs that have conditions, the state ensures that its residents receive cash transfers and enjoy services that enhance their living standards and education levels of their children. In the provisions of human capital approach, individuals produce more when they live for a long period in a healthy state. Therefore, by encouraging high frequency of medical checkups and education for the children, the program facilitates higher productivity and elongates the lives of the people in a particular society (Rawlings and Rubio 6). In essence, the benefits occasioned by the program prolong the lives of individuals and break intergenerational poverty cycles.

Besides prolonging the lives of individuals through compulsory visits to health centers and education of the children in underprivileged societies, the program also provides an increased freedom of choice to the recipients. Imperatively, use of other programs like food aids or medical supplements, only helps the individuals satisfy the subject need, but does not provide freedom of choice and use. As such, the recipients can only use the aid to satisfy a subject need. According to Michelle and John, CCT programs increase human capital and enable the recipients meet a wide range of needs such as food, medicine, and other daily requirements (316).

The implication of the wide spectrum that the program provides is prolonged lives and increased productivity of individuals in the society in line with the provisions of human capital approach. Primarily, increased productivity, prolonged livelihoods, and amplified education levels of the children in the society are some of the major long-term objectives that break the poverty cycle and upgrade the living standards in underprivileged societies.

Some of the two essential elements that must be in place for effective execution of a CCT program include good monitoring frameworks and community empowerment. Notably, good monitoring frameworks are very important in ensuring that the programs reach out to all the needy and underprivileged members of the society. Michelle and John explain that when a government provides well-designed frameworks, the program becomes effective since the right members receive the required aid and undertake the conditions attached to it (315). Significantly, poor design and implementation of monitoring frameworks increase vulnerability of the program to problems such as corruption, high implementation costs, and unequal allocation of cash transfers. In addition, poor designed frameworks limit the program’s effectiveness in achievement of the desired objectives. Therefore, good monitoring frameworks are very essential for the success of CCT programs in any country or state.

Furthermore, community empowerment is fundamental in boosting the effectiveness of the program. Community empowerment entails awareness creation and promotion of the program before the target society (Rawlings and Rubio 8). Fundamentally, right empowerment initiatives that focus on the target community makes them develop a positive attitude towards the program and in turn participate actively in executing its conditions. As a result, the element reduces feelings of subjection and oppression that some underprivileged societies feel when they have insufficient information concerning the conditions imposed by the program. Active participation implies that the quality of education and health status of the individuals in the society advances, and hence, the core objectives of the program become effective and attainable.

Works Cited

Michelle, Adato, and Hoddinott John. Conditional Cash Transfers in Latin America, Washington: Intl Food Policy Res Inst, 2010. Print.

Rawlings, Laura, and Gloria Rubio. Evaluating the Impact of Conditional Cash Transfer Programs: Lessons from Latin America, Washington: World Bank Publications, 2003. Print.

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