Program Conditionality and Food Security: The Impact of PROGRESA and PROCAMPO Transfers in Rural Mexico

EconomiA, Bras´ılia(DF), v.7, n.2, p.249–278, May-Aug 2006

30 Pages Posted: 8 Jan 2019

See all articles by Marta Ruiz-Arranz

Marta Ruiz-Arranz

International Monetary Fund (IMF)

Benjamin Davis

UNICEF South Africa

Sudhanshu Handa

University of North Carolina (UNC) at Chapel Hill - Department of Public Policy; Consultative Group on International Agricultural Research (CGIAR)

Marco Stampini

affiliation not provided to SSRN

Paul Winters

International Fund for Agricultural Development (IFAD)

Date Written: August 2006

Abstract

This paper examines the PROGRESA and PROCAMPO cash transfer programs in Mexico and evaluates their impact on household food security and nutrition. These two programs differ in their targeting and design: PROGRESA is aimed at women and program conditionality is linked to current consumption and human capital investment; PROCAMPO benefits male farmers and program conditionality is linked to agricultural production. The main question addressed by the paper is whether a cash transfer program geared to agricultural production can have the same impact on food security as a cash transfer program geared to consumption through purchases. Our results suggest that monetary payments linked to a productive asset -land- can have as large or larger impact on food security as cash transfers not linked to a productive asset. We show that both programs boost total food consumption and caloric intake in similar proportions. However, increased food security is achieved through different channels — for PROGRESA through purchases while for PROCAMPO through investment in home production. This suggests that the choice of program design depends on objectives beyond total food consumption and caloric intake, such as consumption from specific food categories, diversity of food consumption, investment in agricultural production, and the degree of access to retail food markets.

Suggested Citation

Ruiz-Arranz, Marta and Davis, Benjamin and Handa, Sudhanshu and Stampini, Marco and Winters, Paul, Program Conditionality and Food Security: The Impact of PROGRESA and PROCAMPO Transfers in Rural Mexico (August 2006). EconomiA, Bras´ılia(DF), v.7, n.2, p.249–278, May-Aug 2006, Available at SSRN: https://ssrn.com/abstract=3306688

Marta Ruiz-Arranz

International Monetary Fund (IMF) ( email )

700 19th Street NW
Washington, DC 20431
United States

Benjamin Davis

UNICEF South Africa ( email )

P. O. Box 4884
Pretoria
South Africa

Sudhanshu Handa

University of North Carolina (UNC) at Chapel Hill - Department of Public Policy ( email )

Abernathy Hall
Chapel Hill, NC 27599-3435
United States
(919) 843-0350 (Phone)
(919) 962-5824 (Fax)

HOME PAGE: http://www.unc.edu/depts/pubpol/handa.html

Consultative Group on International Agricultural Research (CGIAR) ( email )

1201 Eye St, NW,
Washington, DC 20005
United States

Marco Stampini

affiliation not provided to SSRN ( email )

Paul Winters (Contact Author)

International Fund for Agricultural Development (IFAD) ( email )

Via Paolo di Dono
Rome, 00142
Italy

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