Money Matters: Evidence from a Conditional Cash Transfer Scheme on Child Health

Anshika Mathur and Gitanjali Sen

Journal of Human Capital, 2025, vol. 19, issue 3, 435 - 473

Abstract: We study the effect of a maternity-benefit conditional cash transfer scheme on child and maternal outcomes in India. By leveraging spatial and temporal variations in implementation and eligibility, our difference-in-differences matching estimates reveal reduced neonatal mortality. Using variation in transfer size, we establish the importance of cash amount. Fulfillment of conditions does not appear to be the key driver. The transfer itself may have increased quality of nutrition and health-care utilization. The muted effects on maternal outcomes raise concerns regarding fulfillment of program conditions by mothers. Our findings are robust to sample restrictions, falsification tests, and are supported by exact randomization tests.

Date: 2025
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