What happens when aid is given as direct cash transfers?

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"There`s a common claim that cash transfers can make people lazy or make them work less, but there`s no evidence to suggest cash transfers lead to a reduction in people working.
In Kenya, charities are experimenting with direct cash transfers, allowing individual recipients to spend the money on whatever they like.
Some cash comes with conditions - allowing the bearer to buy only certain things for example, but there`s a surge of support for unconditional direct cash transfers, because the research shows it can be incredibly effective.
"Cash transfers increase people`s income, people`s consumption, particularly food consumption, but also improve dietary diversity.
In the UK, there has been criticism of government aid payments - especially in relation to direct cash transfers - with suggestions people would waste it or abuse the system.

Dramelin

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