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Index insurance is often promoted as a solution to many of the barriers that are thought to limit the supply of formal insurance coverage to smallholder farmers and livestock owners in developing countries. This manuscript summarizes the state of index insurance, paying special attention to the k...
Cash transfers and index insurance have become popular interventions by development agencies worldwide, yet surprisingly little is known about these programs' comparative impacts on participant behavior or well-being. This paper exploits exogenous variation in program participation and panel data...
This article describes a novel index-based livestock insurance (IBLI) product piloted among pastoralists in Northern Kenya, where insurance markets are effectively absent and uninsured risk exposure is a main cause of poverty. We describe the methodology used to design the contract and its underl...
We use herd history data collected among pastoralists in southern Ethiopia to study stochastic wealth dynamics among a poor population. Although covariate rainfall shocks plainly matter, household-specific factors, including own herd size, account for most observed variability in wealth dynamics....
The document, presented by Christopher B. Barrett, Cornell University, discusses the challenge of improving policy and institutional innovation for poverty reduction. The poverty traps concept is considered in relation to six key features namely a focus on dynamics, multiple dynamic equilibrium, ...
The effective design and implementation of interventions that reduce vulnerability and poverty require a solid understanding of underlying poverty dynamics and associated behavioral responses. Stochastic and dynamic benefit streams can make it difficult for the poor to learn the value of such int...
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