Nick Allardice’s Post

Big news! GiveWell, a leading charity evaluator, has just increased their estimate of the cost-effectiveness of GiveDirectly's direct cash transfers by 3-4x in their first reassessment since 2019. Here’s why: 🛠️ Positive Spillovers: Cash helps more than just recipients—it boosts the local economy. Studies show cash transfers benefit entire communities. A study in Kenya found each $1 in cash created $2.50 in the local economy without serious inflation. GiveWell’s considering this research drove a significant increase in their estimate. 🗓️ Long-Lasting Impact: Cash transfers reduce poverty for years. Long-term studies reveal that families continue to see higher spending years after receiving cash. GiveWell adjusted their estimate to reflect these sustained benefits. 🏥 Lives Saved: Cash means fewer child deaths. Research shows cash transfers have life-saving effects: studies reveal significant reductions in child mortality. GiveWell found the results “surprisingly large,” and acknowledges the potential of these findings. While this won't effect GiveWell's top charity recommendations right now, they note this “3-4x update is far from the end of the story” with more cash research on the horizon. At GiveDirectly, we’re grateful for GiveWell’s thorough engagement with the data and are excited to keep building on this evidence. Get in touch if you want to help pilot promising new cash programs that may be even more cost-effective than our current work. 👉 Read more at our blog https://lnkd.in/gupqETy9

Rebecca Herbst 🔸

Promoting finance as a force for good | Financially Independent at 32

1mo

Very glad to see this report! We decided to continue directing the majority of our personal monthly donations to GiveDirectly even though they didn’t make it to GiveWell’s top 4 at the time. In out gut and our hearts it feels like cash transfers are life saving so I’m glad to see the research continues to back this too. Thank you for all you do!

Victor Kabanda

Project Management | Monitoring | Design | Evaluation

1mo

How much and for how long should receive the money for that money to be impactful in Kenya and Rwanda?

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Brittany Christenson

Delivering aid with dignity

1mo

This is a big deal and well deserved. Congrats GiveDirectly!

Francis PG Neufville, Sr.

Acting LEAP Project Manager |Street Child | Skilled in Project Management

1mo

Thanks Nick Allardice, GiveDirectly has been a blessing in Maryland. With the end of the project closed, I'm deeply touched by the level of change this project has made in this part of Liberia. Kindly think of continuation for other parts of the county that didn't benefit.

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This is great to hear. Paul Niehaus Let's try the scale up idea and measure how the spillover effect multiplier changes as the transfer size increases. I bet that when the amount gets to "send your child to school in another city/country" levels, the long term effect will be huge.

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JACK HAGLEY

senior graphic designer | type design | information design

1mo

This is good to hear! It seems like there is more great news to come. Do you know when GiveWell will update their recommendations?

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Victoria Krauss

Program Manager @LEEP | Ex-Strategy Consultant and International Dispute Resolution Lawyer

1mo

It was about time they update their estimates! 🙌🏻

Nadav Prawer, Phd

Lawyer, Lecturer and Advisor

1mo

is there any research correlating spillover and amounts of transfer?

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Evaline Acam

An enthusiast of Humanitarian work, Field Operations, Quantitative and Qualitative Research, Refugees, Cash Programming, Data collection and Recipient Advocacy . Climate Advocate. A no friend to plastic.

1mo

Absolutely,this is great news,thank you Nick

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