Impact of Cash Transfers of Social Programs in the economy of rural families in Mexico, 2012

Abstract

The aim of the study was to determine the impact of cash transfers of PROCAMPO and OPORTUNIDADES programs on the economy of rural families in Mexico in 2012. Data from the National Survey of Household Income and Expenditure from National Institute of Statistics, Geography and Informatics were used and the impact was estimated by propensity score matching method. We conclude that the impact of social programs on the economy of rural families is differentiated: (i) PROCAMPO cash transfers achieved a positive impact on food expenditures ($ 132.6), total spending ($ 505.4) and family income ($ 745.5) and negative in spending on services transport (- $ 36.7) and housing (- $ 17.8); (ii) while the OPORTUNIDADES has had a positive impact on spending in buying dress ($ 14.46) and negative in the rest of the costs and household income; (iii) beneficiary families of the two social programs have had positive impact on its economy through food expenditures ($ 59.4), clothing ($ 36.4), cleaning ($ 7.6), health ($ 34.3) durable Goods ($ 126) in total spending ($ 68.1) and family income ($ 534.1), and negative for transportation expenses (- $ 66.4), education (- $ 63.6 ) and personal services (- $ 40.4).