ADePT SP examines how the beneficiaries and/or benefits of social protection programs are distributed across quintiles, deciles or other population groups.
To generate the benefit-incidence tables, the user has to create a rectangular input file based on a household survey with three types of information:
- participation in SP programs;
- the welfare level of the households, typically expressed as a per capita or per adult equivalent consumption or income; and
- other classification (categorical) variables that define other population groups of interest to the analyst.
With this information, ADePT SP creates up to 23 standardized tables and graphs that examine how equitable, effective and efficient the programs are. The module produces tables with:
- the distribution of beneficiaries and/or benefits across quintiles/deciles and other, user-defined population groups;
- the share of the population or population groups covered by a program or by a combination of programs;
- the generosity of a program or a combination of programs, expressed by the ratio of the benefits in the consumption of beneficiary households;
- summary statistics for the progressiveness/ regressiveness of SP transfers, such as concentration coefficients, targeting differential or the distributional characteristic;
- the simulated impact of the transfers on (reducing) inequality and poverty; and
- estimates of the level of program overlap at household level, or the lack of coverage with such programs.
By default, the indicators are estimated for the total population and for different welfare groups (quintiles of deciles). In addition, the program breaks-down the analysis for other, user-defined groups, such as poverty level, regions, areas of residence, household size or demographics, ethnicity, disability status etc.
The program adapts to the different ways the information on the participation in SP programs is collected in practice. For example, it works with information expressed as "beneficiaries served" or as "benefits (cash transfers) received", collected at either individual or at household level. The more specific the entry information is, more tables can be generated by the program.
This version of ADePT SP can process up to 20 SP programs. The user is asked to identify the type of SP program (pension, labor market or social safety nets) and the program creates aggregate categories.
ADePT performs sensitivity analysis with different consumption counterfactuals; generates estimates with correct standard errors; and generates a number of statistics that allow comparisons between survey and administrative data. It can also be used to simulate the distributional impact of new/restructured programs.
The direct benefit is that SP ADePT produces quick-but-not-dirty analysis. The indirect benefit is that it will facilitate the benchmarking of benefit incidence information across countries by producing a standard output and using a consistent set of methods and assumptions.
See ADePT SP Technical User's Guide for more information .
The ADePT software is created in the Poverty Team of the Development Research Group, Development Economics Vice Presidency by Michael Lokshin, Senior Economist (lead), Zurab Sajaia, and Sergiy Radyakin. ADePT SP is a result of joint work with HDNSP (Emil Daniel Tesliuc and Phillippe Leite). The project was completed under guidance of Martin Ravallion.
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