In this paper we estimate the indirect effects of a large-scale cash transfer program. The Emergency Social Safety Net (ESSN) program, targeting refugees in Turkey, is the largest humanitarian cash transfer program in the world. We use spatial and temporal variation in the roll out of this program to estimate impacts on various outcomes. There are few studies in the literature that consider indirect effects of cash transfer programs and these studies mainly focus on prices. This study extends the set of outcomes and assesses impacts on firm creation, labor market, demand for services, and prices. Estimates indicate that the program increases firm creation and reduces unemployment insurance applications while at the same time increasing prices of some food items, rents and house prices. The results also indicate significant effects on education services.
Research Fellows
Abdurrahman Aydemir
Full Professor of Economics, Faculty of Arts...
Authors
Erkan Duman
Consultant, World Bank