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Social Protection and Social Distancing During the Pandemic: Mobile Money Transfers in Ghana (WP-22-34)

Dean Karlan, Matt Lowe, Robert Darko Osei, Isaac Osei-Akoto, Benjamin Roth, and Christopher Udry

The researchers study the impact of mobile money transfers to a representative sample of low-income Ghanaians during the COVID-19 pandemic. The announcement of the upcoming transfers affects neither consumption, well-being, nor social distancing. Once disbursed, transfers increase food expenditure by 8%, income by 20%, and a social distancing index by 0.08 standard deviations. Over 40% of the transfers were spent on food. The positive effects on income mostly persist at final measurement, eight months after the last transfer. Together, the researchers learn that cash transfers can support households economically while also promoting adherence to public health protocols during a pandemic.

Dean Karlan, Frederic Esser Nemmers Distinguished Professor of Economics and Finance and IPR Associate, Northwestern University

Matt Lowe, Assistant Professor of Economics, University of British Columbia

Robert Darko Osei, Associate Professor, Institute of Statistical, Social and Economic Research, University of Ghana

Isaac Osei-Akoto, Senior Research Fellow, Institute of Statistical, Social and Economic Research, University of Ghana

Benjamin Roth, Assistant Professor of Business Administration, Harvard University

Christopher Udry, Robert E. and Emily King Professor of Economics and IPR Associate, Northwestern University

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