Do Social Benefits Respond to Crises? Evidence from Europe and Central Asia during the Global Crisis
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World Bank, Washington, DC
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Social benefits can potentially play an
important role in protecting the poor and minimizing the
impacts of an economic crisis. While many studies estimate
the impacts of a crisis, there is little evidence of the
actual response of social safety nets to systematic shocks.
This study traces the response of social benefits during the
2008-10 global crisis for 14 countries in Europe and Central
Asia (ECA). The study first sets out a framework for
defining the 'expected' response of social
benefits covering an assessment of pre-crisis preparedness
of social benefits and the severity of the crisis for all
countries in the ECA region to provide the context; and then
develops a typology of all countries categorized by expected
response. Using this typology the study analyzes the monthly
administrative data on the observed patterns within social
benefit programs. Main findings indicate that actual
responses were largely in line with expectations. Pre-crisis
preparedness clearly influenced the ability of social
benefits to respond to the crisis. Unemployment benefits
were generally the first line of response in countries that
have them, while social assistance programs also expanded
coverage during the crisis. Lessons learned from the
2008?2010 global crisis (such as the importance of
structural reform, design, and implementation which affect
the success of social benefits programs in crisis response)
are also presented. The study concludes with some policy
recommendations to help ECA countries prepare for future crises.
Palabras clave
ADVERSE IMPACT, ALLOCATIVE EFFICIENCY, ALLOWANCE PROGRAM, ANTIPOVERTY PROGRAMS, ASSISTANCE PROGRAMS, AUTOMATIC STABILIZER, BENCHMARK, BENEFICIARIES, BENEFICIARY, BENEFIT SCHEMES, BENEFIT SYSTEMS, CAPACITY BUILDING, CASH ASSISTANCE, CASH TRANSFERS, CHILD ALLOWANCES, CHILD HEALTH, CONSUMER PRICE INDEX, CONTRIBUTORY PENSIONS, COPING STRATEGIES, DEPENDENCY, DEVELOPMENT POLICY, DISABILITIES, DISABILITY, DISABILITY ALLOWANCE, DISABILITY ALLOWANCES, DISABILITY BENEFITS, DISABILITY PENSION, EARLY RETIREMENT, ECONOMIC COOPERATION, ECONOMIC CRISES, ECONOMIC CRISIS, ECONOMIC DOWNTURN, ECONOMIC DOWNTURNS, ECONOMIC OUTLOOK, ECONOMIC SHOCKS, ELDERLY, ELIGIBILITY, ELIGIBILITY CRITERIA, ENTITLEMENT, ENTITLEMENT PROGRAMS, EU, FAMILY ALLOWANCE, FAMILY ALLOWANCES, FAMILY BENEFIT, FAMILY BENEFITS, FINANCIAL CRISIS, FISCAL CONSTRAINTS, FISCAL DEFICITS, FISCAL POLICY, FOOD STAMPS, GDP, HOUSEHOLD INCOMES, HOUSEHOLD LEVEL, HOUSEHOLD SURVEYS, HOUSEHOLD WELFARE, HUMAN CAPITAL, HUMAN DEVELOPMENT, INCOME, INCOME SUPPORT, INDEXATION, INEQUALITY, INSTITUTIONAL CAPACITY, INVENTORY, JOBLESS, LABOR FORCE, LABOR FORCE PARTICIPATION, LABOR MARKET, LABOR MARKETS, LABOR STATISTICS, LIVING STANDARDS, MARGINALIZATION, MIDDLE INCOME COUNTRIES, MINIMUM INCOME, NATURAL DISASTERS, NEEDY FAMILIES, NUTRITION ASSISTANCE, OLD AGE, PARTTIME EMPLOYMENT, PENSION, POLITICAL ECONOMY, POLITICAL SUPPORT, POOR, POSITIVE EFFECTS, POVERTY LINE, PRICE INCREASES, PRODUCTIVITY, PROTECTION POLICY, PUBLIC SERVICE, PUBLIC SPENDING, PUBLIC WORKS, PUBLIC WORKS PROGRAMS, PURCHASING POWER, RESPONSE TO CRISES, RETIREMENT BENEFITS, RISK MANAGEMENT, SAFETY, SAFETY NET PROGRAMS, SAFETY NET SYSTEMS, SAVINGS, SHOCK, SOCIAL ASSISTANCE, SOCIAL ASSISTANCE PROGRAMS, SOCIAL BENEFITS, SOCIAL PENSION, SOCIAL PENSIONS, SOCIAL POLICIES, SOCIAL POLICY, SOCIAL PROGRAMS, SOCIAL PROTECTION, SOCIAL RISK, SOCIAL SAFETY NET, SOCIAL SAFETY NETS, SOCIAL SERVICES, STAFF, STRUCTURAL REFORMS, SUPPORT PROGRAM, SUSTAINABLE DEVELOPMENT, TARGETING, TARGETING MECHANISMS, TEMPORARY ASSISTANCE, UNEMPLOYED, UNEMPLOYED WORKERS, UNEMPLOYMENT, UNEMPLOYMENT BENEFIT, UNEMPLOYMENT BENEFITS, UNEMPLOYMENT INSURANCE, UNEMPLOYMENT RATE, UNEMPLOYMENT RATES, UNIVERSAL BENEFITS, VULNERABLE GROUPS, WAGES, WAR, WELFARE SYSTEMS, WILL, WORKERS, WORKFARE, WORKS PROGRAM, crisis readiness, crisis response
