Assessing the Impact of Indonesian Social Safety Net Programs on Household Welfare and Poverty Dynamics

Sudarno Sumarto, Asep Suryahadi, Wenefrida Dwi Widyanti
Education, Health, Poverty & Inequality, Social Protection
Working Paper, August, 2004, Final



In early 1998 the Government of Indonesia established several social safety net (SSN) programs to help the poor and the newly poor cope with the impact of the impending economic crisis, covering food security, employment creation, education, health, and community empowerment. This article evaluates the impact of these programs on household welfare and poverty, utilizing a panel data set of over 10 thousand households which were visited four times in a 14 month period. The impact of participation in the social safety net programs on household consumption is found to be generally positive. However, only the subsidized rice program appears to have significantly reduced the risk of poverty among participating households.

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