Do cash transfers have the ability to empower women? A case study on the Child Support Grant in South Africa

Abstract: Cash transfer programs have been shown to be a successful tool in reducing poverty by multinational impact analysis. However, if they are able to affect gender dynamics remains a debated topic. Critics claim that the programs may reinforce traditional gender roles whilst others mean that increasing women’s income with a cash transfer is empowering. This study investigates the Child Support Grant in South Africa and whether it affects women’s intra-household bargaining power and hence women’s empowerment. The field method is a survey questionnaire responded by women either receiving the grant (the treatment group) or applying for it for the first time (the control group). The empirical data collected through the questionnaires are analysed econometrically. To receive the Child Support Grant did not show any significant effect on women’s bargaining power. However, the number of years a household has received the grant exhibits a small significant positive relationship with women’s intra-household bargaining power, implying a long-term impact. The rather small amount of the cash transfer, households with complex family structures and deeply rooted gender roles are believed to explain the lack of a larger effect on women’s bargaining power.