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Testing an extended version of the Household Economy Approach in Zambia
06 December 2006
Cash transfer programmes have been suggested as an appropriate approach to reducing vulnerability to food insecurity in southern Africa. Unless limited to small transfers to the elderly or other easily targeted groups, the design and management of a large cash transfer programme will require quantitative poverty measures to set benefit levels, identify beneficiaries and establish the programme cost.
A pilot study was conducted to test an extended version of the household economy approach (HEA), for which national HEA data sets are already available in some southern African countries, to see if this has potential to provide the necessary information for planning large cash transfer programmes. The study compared the results obtained from the extended HEA with estimates of actual household income for the same period. The results were encouraging, although further testing of the approach will be required.
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