Public assistance programs help mitigate the adverse economic effects of Covid-19 on Argentine households

A woman waits in line to be tested for coronavirus disease

The Covid-19 pandemic has had a significant impact on Argentina's economy, causing a drop in GDP and an increase in poverty and unemployment, particularly among informal workers, those in the tourism sector, and young adult women with children. The government implemented several fiscal policies to address the Covid-19 crisis in response to deteriorating economic and social conditions. Among these measures was the creation of the Emergency Family Income Program (IFE) to guarantee food access through supplementary income for vulnerable families. However, the effectiveness of policy responses was unproven until a team of local PEP researchers conducted a series of microsimulations. They found that most government policies efficiently provided aid to households. However, policies aimed at retirees and pensioners did little to help reduce poverty. Find out more about the research methods, findings and policy recommendations in the following PEP publications:

Research team

Jorge Pablo Puig | Julian Martinez-Correa | Guillermo Cruces | Juan Menduina

Country
Argentina
Project code
20585

FUNDED BY

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European Union
Fonds d'innovation pour le Développement
Global Education Analytics Institute