From a local economy-wide perspective households that receive cash transfers are the means through which new cash enters the rural economy. As they spend their cash the beneficiary households generate general equilibrium effects that transmit program impacts to others in the economy, including non-beneficiaries.
The LEWIE methodology requires the construction of household-village (local) social accounting matrices (SAMs) using household, enterprise, and community survey data collected as part of the baseline and/or follow-up surveys in each of the countries in which evaluations of cash transfer programmes are carried out. Separate SAMs are constructed for the households that will receive the randomized transfer, for control-group households, and when available, for ineligible households in both the beneficiary and control villages.
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