4min chapter

Rationally Speaking Podcast cover image

Is cash the best way to help the poor? (Michael Faye)

Rationally Speaking Podcast

CHAPTER

Is There a Market for Index Insurance?

Ewe did a very small project on index insurance. Index insurance its weather insurance, which basically says, if it doesn't rain, it pays out to recipients. But in a lot of the studies, people don't buy it as much as you might expect. So we project where we just offered it to people out of the cash transfer. Would you like to get whatever it was, 20 dollars less, and also get weather insurance? And it turns out a lot of people said yes. They weren't buying it before because they didn't have the money, but right when you give them money, they're willing to buy it. The other chicken and egg problem that we run into is

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