Impact of Cash Transfers on Domestic Violence
Impact of Cash Transfers on Domestic Violence
I. INTRODUCTION
ALLEVIATION
1
Cash transfers are direct, regular, non-contributory cash payments
made to the impoverished as a safety net mechanism. 1 Cash transfer
schemes are becoming increasingly popular as a means to stabilize and
uplift impoverished households. There are various types of cash transfer
schemes, often differing in their target purpose, target population and mode
of implementation.2
1
UK Aid, DFID Cash Transfers Evidence Paper, pg. 49, 2011, available at:
[Link]
2
Berk Ozler, How should we design Cash Transfer Programmes, World Bank Blogs,
available at [Link]
transfer-programs.
3
Supra note 1, pg 49.
4
Id.
5
Id.
2
their needs. Thus, the influx of cash allow households with heterogeneous
needs to invest in their long-run welfare improvements. 6 The no strings
attached approach provides families the space to invest in their
individualistic needs, that large scale paternalistic policy mechanisms may
not account for. Due to their stable and regular nature, UCTs also impact
psychological wellbeing positively, by relieving extreme mental strain.
Additionally, UCTs are easier to arrange than in-kind transfers, as they
manifest directly in the choices of the persons. There are also no costs of
the infrastructure, transportation and storage requirements of in-kind
transfers. Further, they are cheaper than conditional cash transfers as there
is no need to survey the pre-requisites of the transfer. 7 It is for this reason,
that UCT’s are being increasingly preferred by governments. 8 However, a
cause for concern, is the notion that cash influx that is non-contributory will
impact the labour supply.9
3
experiment evidenced a marginal reduction in labour supply and an
increase in children’s education. Similarly, in another scheme, there was no
impact on labour supply but reduced crime and a positive impact on
children’s education as well as mental health. This is not confined to
conventional UCT’s, even in unconventional UCTs, such as the lottery, a
marginal reduction in labour supply was noted. Thus, these studies confirm
the ability of targeted population to invest in their betterment and make
choices that contribute to their overall wellbeing. These studies also rebut
the notion that non-contributory cash influx necessarily results in a
decrease of labour supply and incentive to work.10
10
[Link]
11
David K. Evans, Anna Popova, Cash Transfers and Temptation Goods: A Review of Global
12
4
There have been various studies that illustrate that the efficacy of
cash transfer schemes is dependent on the social fabric in which it is being
implemented.13 So social context is important.
13
Devanshi Chanchani, Would the People of Chhattisgarh Prefer Cash Transfers instead of
Foodgrain? 52(34) EPW (2017).
14
Baird S., Ferreira F. H. G., Ozler B., Woolcock M., Relative Effectiveness of Conditional
and Unconditional Cash Transfers for Schooling Outcomes in Feveloping Countries: A
Systematic Review. 8 Campbell Systematic Reviews (2013) available at:
[Link]
15
Id.
16
Schultz, T.P. School Subsidies for the Poor: Evaluating the Mexican Progresa Poverty
Program, 74(1) Journal of Development Economics, (2004), pp. 199-250; De J anvry, A. &
Sadoulet, E, Making Conditional Cash Transfer Programs More Efficient: Designing for
Maximum Effect of the Conditionality, 20(1) World Bank Economic Review, (2006) pp. 1-29.
17
Fiszbein, A. & Schady, N. Conditional Cash Transfers: Reducing Present and Future
Poverty, World Bank Policy Research Report (2009); Grosh, et al, Assessing Safety Net
Readiness in Response to Food Price Volatility, World Bank Discussion Paper No. 1118
(2011).
5
CCTs are considered an effective way to reconcile social evils with
safety nets and social assistance policies. 18 CCT’s are two tiers in their
approach. Beyond being a safety net that implements a target purpose
through pre-requisites, it also serves as an investment in human capital,
ultimately benefiting the households 19
The idea is that distributing cash is
not as effective as arming households with the capability and skills to be
self-reliant. Thus, it is seen as a mechanism to provide a safety net to the
impoverished whilst empowering them at the same time. 20
18
19
20
Hyun Son, Conditional Cash Transfer Programs: An Effective Tool for Poverty Alleviation?
51 ERD Policy Brief (2008) available at:
[Link]
21
THE POOREST AND HUNGRY: ASSESSMENTS, ANALYSES, AND ACTIONS: AN IFPRI 2020 BOOK,
International Food Policy Research Institute, edited by Joachim Von Braun, Ruth Elaine
Hill, International Policy Research Institute, (2020).
22
Id.
23
See, MARTHA C. NUSSBAUM, CREATING CAPABILITIES: THE HUMAN DEVELOPMENT APPROACH
(Harvard University Press 2011).
6
this increased reliance on cash transfers, is misplaced if the supply side is
inadequately prepared for the increased demand. 24 For instance, in many
developing countries, there are insufficient schools to cater to the
population of children in the locality. Thus, in such a situation, mandating
attendance in return for cash, may not manifest in the required result. Thus,
in developing countries that have severely lacking social service
infrastructure, CCT programs should go hand in hand with an improvement
in the public distribution system (hereafter “PDS”) and social service. 25
All in all, CCTs have been largely successful in achieving their target
purpose of alleviating certain aspects of poverty. Irrespective of whether
the apprehension of expenditure on temptation goods, lavish goods,
decrease in labour supply, is unfounded, CCT’s can be feasible solution. The
reason that CCTs have gained popularity is their ability induce the target
population into the right choices.27 Even if, the population were to make
that choice without inducement, CCTs definitely enhance the outcome by
ensuring the target purpose is maximized and reduces the chances of
beneficiaries running astray. Moreover, there is tangible proof of the
24
Sudha Narayana, Perspectives on Cash Transfers, 46(21) EPW (2011).
25
Supra note 30.
26
Christy Bieber, 4 ways credit card can make you poorer, available at
[Link]
poorer/(Last visited on September 20, 2022).
27
Supra note 37.
7
outcome of the scheme, unlike the CSG scheme wherein the increase in
height was evidence of the nutritional intake.
However, there is more than meets the eye in these surveys and the
success of the CCT depends on the vantage point of the survey
undertaken.
8
Latin American countries, most studies have been focused around empirical
evidence collected from these countries. In this section of the paper, the
authors will analyse three empirical studies from different Latin American
countries that assess spillover effects of CCT schemes on domestic violence.
There are different theories that link household income and domestic
violence and women empowerment. The feminist theory places patriarchy at
the root for violence by suggesting that men use violence as a tool. 29 On the
other hand the evolutionary theory propounds that the need for inflicting
violence stems from uncertainty of paternity or in simpler terms, the
prospect of the infidelity, which gives rise to insecurity which results in
violence.30 In line with the former theory, if through external means, the
autonomy of a woman within the household is increased, it may lead to
decreased violence. However, with respect to the latter theory, an increased
autonomy might in fact lead to an increase in violence. Therefore, given the
lack of consensus on theories related to a woman's income and Domestic
Violence, it is no surprise that the empirical evidence is also mixed. The
evidence should thus be evaluated in light of the assumptions made by
different authors.
Although the specifics of the CCT programs whose social impact have
been studied differs from country to country, the base line is that all of
these programs transfer monetary resources to women of the target
impoverished households since they are more likely to “reinvest the
resources into the family’s well-being.”31 The broad assumptions that are
29
30
31
9
made by most authors is that conditional cash transfers can decrease
domestic violence by32-
OTHER SPECIFICITIES.
10
backdrop of the county. As we have seen from the previous studies, in most
cases, CCTs have been successful in reducing spousal violence by improving
female autonomy within the household. Even while importing the simple
autonomy model in India, the results seen are anomalous than that of the
reference countries.
11
families are more likely to be beaten in order to elicit greater transfers from
their parents.”36 Additionally, legal remedies to prevent domestic violence
exist, however recourse to the same is hardly taken. This is due to the lack
of cultural acceptability of the practice in a country like India where the
institution of marriage is held to be sacrosanct and the husband is placed on
a pedestal. For these (non-exhaustive) reasons, it can be stated that the
results from the Latin American studies can be referred to, yet not blindly
imported to the Indian context, without first tailoring it to the prevailing
socio-cultural backdrop of the county.
12
However, despite the relief assurances by the government, there has
been barely much implementation of the same and the alleged benefits have
scarcely reached the intended beneficiaries. It has been reported that
within the first three weeks of the Lockdown, around 98% stranded workers
have not received any cash relief from the government, 96% had not
received rations from the government and in order to conserve whatever
ration they had they were barely eating one meal a day. 41 A number of other
studies and surveys conducted over various periods of time during the
lockdown have noticed similar results where majority of the promised
benefits were either not received at all or were received after inordinate
delays which would lead to hunger and starvation.42
In fact, the government has been touting cash transfers such as JAM
(Jan Dhan Aadhar Mobile) as a magic bullet for addressing the concerns of
the various anti-poverty programs despite not having the infrastructure to
support it. Around 420 welfare schemes in India are delivered through
Direct Benefit Transfer out of which only 63 of them are in-kind transfers. 43
The PDS in India suffers from severe shortcomings however, instead of
focusing on solving these concerns, the government is more bent on
41
Stranded Workers Action Network, 21 Days and Counting: COVID-19 Lockdown, Migrant
Workers, and the Inadequacy of Welfare Measures in India (April 2020).
42
Meghna Yadav, People are skipping meals’: 68% of households in phone survey say
income has fallen since lockdown, available at: [Link]
skipping-meals-68-of-households-in-phone-survey-say-income-has-fallen-since-lockdown
(Last Accessed on November 10, 2020).
43
Down to Earth, Cash, on delivery: How India has taken up DBT in the times of COVID-19,
available at: [Link]
has-taken-up-dbt-in-the-times-of-covid-19-72247 (Last Accessed on November 10, 2020).
13
revolutionizing the cash transfer system through infrastructure it is
nowhere close to achieving. As mentioned in part II, cash transfers are not
appropriate for all poverty alleviation goals and their efficacy is highly
context-dependent.44 As Prof. Jean Dreze states, even if the infrastructural
problems with cash transfer are solved, there is still no reason to privilege
and prioritize them as the sole tools of social policy as in-kind transfers are
equally important.45
44
Sudha Narayanan, A Case for Reframing the Cash Transfer Debate in India, 46
(21) Economic and Political Weekly (2011).
45
Jean Dreze, JAM and the Pursuit of Nirvana, available at: [Link]
and-the-pursuit-of-nirvana (Last Accessed on November 10, 2020).
46
Ana Maria Buller, et al, A Mixed-Method Review of Cash Transfers and Intimate Partner
Violence in Low- and Middle-Income Countries, 33(2) The World Bank Research Observer
(2018).
47
There is a brilliant discussion on this by Nitya Rao, Cash Transfers, 48(4) Economic and
Political Weekly (2013).
14
individual capabilities is required to be able to minimize negative spillover
effects from such schemes which are inevitable.48 This is all the more
important from the perspective of increasing instances of domestic violence.
In India, the situation is quite bleak as well. As per the data of the
National Commission for Women (NCW) there has been an expeditious
upsurge in reported cases. As is the case with India, the real numbers are
far higher than the numbers which are reported as reporting can lead to life
threats, backlash, increased risks etc. Therefore, the situation is expected to
be much worse than the data provided. A month prior to the lockdown, the
number of complaints related to domestic violence against women received
48
See, Part I
49
United Nations Press Release, Amid Global Surge in Domestic Violence, Secretary-
General Urges Governments to Make Prevention, Redress Part of National COVID-19
Response Plans, available at: [Link] (Last
Accessed on November 10, 2020).
50
The Hindu, Coronavirus lockdown: Surge in domestic violence, says WHO, available at:
[Link]
violence-says-who/[Link] (Last Accessed on November 10, 2020).
51
Phumzile Mlambo-Ngcuka, Violence Against Women and Girls: The Shadow Pandemic,
available at: [Link]
violence-against-women-during-pandemic (Last Accessed on November 10, 2020).
15
by the NCW were 123 however, within merely the first three weeks of
lockdown this number almost doubled to 239.52 It has been stated that
during the first four phases of the lockdown, more complaints have been
recorded than it has been over the last ten years in a similar time frame. 53
This can be explained by the fact that survivors are compelled to be
confined in abusive environments with their abusers due to the imposition
of lockdown. Additional factors like restricted movement, reduced modes of
communication (in many impoverished households, women do not have
access to phone) and reduced contact with family also exacerbate the
situation.
3. Proposition
16
prevent misuse and ensure family welfare. This is because, due to the
prevalent economic recession and widespread unemployment even cash
transfers are less effective in reducing poverty related stress in households
and the manifestation of the stress in the form of violence can ultimately
hamper the objective of family welfare.
54
Must read - UNDP India, Discussion Paper on Conditional Cash Transfer Schemes for
Alleviating Human Poverty: Relevance for India available at:
[Link]
[Link] (Last Accessed on November 10, 2020).
55
Since the dropout rate from schools have increased manifold. See, Times of India,
Pandemic has increased school dropouts, available at:
[Link]
dropouts/articleshow/[Link] (Last Accessed on November 10, 2020).
17
condition as many impoverished households do not have the resources to
support the same even after a basic subsistence transfer. Integrating
periodic health checkups as a part of the condition of the transfer can be
done eventually once the health crisis posed by the coronavirus subsides
and the healthcare sector is less overburdened. Such a scheme would
essentially combine the different benefits given by the government even
currently under one umbrella and make it subject to conditions in such a
way that family welfare is ensured and negative spillover effects are
minimized. Women should be made the recipients of this scheme in order to
vest them with autonomy over decisions regarding family welfare. However,
it should be ensured that the cash transferred should not be so substantial
as to challenge the traditional gender role in a household where the man is
the breadwinner as it has been observed that it can lead to increased
instances of domestic violence. Therefore, this model is optimized with
respect to having maximum benefits in minimizing domestic violence as a
spillover effect of CTs.
VI. CONCLUSION
18
the authors do propose enforcing traditional gender roles to minimize
violence.
19