Reconciling Needs with Budget Constraints

FIGURE 5.1 Reconciling Needs with Budget Constraints One option is to 

FOR PROTECTION AI ID PROMOTION THE DESIGN AND IMPLEMENTATION OF EFFECTIVE SAFETY NETS 

In addition to determining the average size of the benefit, program designers need to decide whether they would like to tailor the benefit level to the characteristics of the household, that is, to use a benefit formula. 

Deciding on Flat versus Variable Benefit Formulas 

Benefit formulas may be flat—that is, all beneficiaries receive the same benefit—or they may vary according to the characteristics of the beneficiary household in a number of ways. Some of the main variations include the following  

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