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Stefan Dercon, Pramila Krishnan, Risk sharing and public transfers, The Economic Journal, Volume 113, Issue 486, March 2003, Pages C86–C94, https://doi.org/10.1111/1468-0297.00116
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Abstract
We use public transfers in the form of food aid to test for the presence of risk sharing arrangements at the village level in rural Ethiopia. We reject perfect risk‐sharing, but find evidence of partial risk‐sharing via transfers. There is also evidence consistent with crowding out of informal insurance linked to food aid programmes.
Issue Section:
Special Session on Risk, Insurance and Poverty
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