Familias en Acción is a welfare programme that was set up by the Colombian government in 2001 with the help of a World Bank and Inter-American Development Bank loan. It aims at fostering the accumulation of human capital amongst the poorest Colombians, through the provision of conditional subsidies for investments into education, nutrition and health. Initially only available in rural areas, it has now been extended to urban districts and as of 30th June 2006 was being received by 518,000 families.
Analysis of the programme has primarily involved the evaluation of the impact in a sample of the 622 rural areas where it was first rolled out. The paper proceeds as follows. Section 2 describes the key features of the Familias en Acción programme, and section 3 describes the related literature and the stated-response questions that we investigate. Section 4 and 5 take a more detailed look at the responses to each of the two questions (which probed recipients about withdrawal from school if the cash transfers were stopped, or were made unconditional). Section 6 concludes.
Institute for Fiscal Studies, EDePo Working Paper, EWP07/01, 20 pp.