Diverty And Poverty: The Economic Effects Of Progresa

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3.2.1 The economic effect of progresa
Progresa affected not only children of poor households, but the adults as well. Their productivity increased: on average they reported to be 17 percent less likely to be unable to work for illness and 7 percent more likely to endure higher physical efforts (Skoufias 2005). In general, Progresa fosters lifetime productivity and increases future potential earning for children part of the program. IFRI estimates that only the nutritional supplements have already the power to increase by 2.9 percent earnings in adulthood. Studies have shown that children who received the educational incentives can expect an increase of almost 8 percent in their future wages (Schultz 2000). Progresa plays a relevant role in
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The first one uses simulations based on the predicted consumption of every family included in the program and adds the cash transfer from Progresa. The finding is that the population percentage living under the poverty line fell by 10 percent thanks to transfers from the program. According to the poverty gap, the level of poverty has been reduced by 30 percent and by 45 percent according to the severity of poverty index. Similar findings results from the second approach that relies on data on household income and consumption collected by socio-economic censuses. By comparing the levels of poverty before and after the implementation of the program, it was shown that Progresa had significantly contributed to reduce poverty: the headcount rate fell by 17 percent, the poverty gap by 36 percent and the severity of poverty by 46 …show more content…
Interventions were grouped into three main types: those aimed at ensuring school access; those looking at improving quality of learning; finally, those finalized at optimizing institutional capacity. All of them complemented each other and were integrated in their implementation in order to achieve from different aspects the same goal of universal quality basic education.
First was ensured access by building schools or expanding existing ones in order to make room for more students and better meet their needs. This is beneficial for girls for at least two instances: girls are less likely to dropout from primary school when there is a secondary one nearby and are less likely to miss days in class when there are proper lavatories, essential per adolescent girls.
Financial incentives were given in different shapes. In 2006, as many as 421.310 between girls and poor pupils could eat their meals for free at school and 67.760 children were given school kits (i.e. school material). In the same year was introduced a government decree that exempted girls in 1st and 6th grade and boys in 1st to 3rd from textbook fees leading to positive results (Table

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