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Resource Allocation for Family Planning in Developing Countries Report of a Meeting (1995) / Chapter Skim
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The Distribution of Benefits of Subsidies
Pages 10-12

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From page 10...
... These social arguments pertain most strongly to the poor: it is the poorest women and their offspring whose health is threatened most by large families, and it is they who generally have the least safe and effective alternatives for fertility regulation. The choice among alternative strategies for reducing overall subsidies (targeting services versus across-the-board user fees)
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From page 11...
... Cross-sectional results from one time period may also exaggerate the true long-term differentials in the incidence of subsidies between rich and poor. If diffusion models of contraceptive change are correct, then educated people are typically the early adopters of behavioral innovations like contraception, and the poor catch up, often within a decade or two (see for empirical examples, the TABLE 2 Shares of Public-Sector Contraceptive Subsidy Received by Quartiles of Households by Asset Ownership, by Method, Cebu, Philippines, 1983-1986 Asset Quartile MethodLowest 2 3Highest Total Condom6.9% 25.9% 48.3%19.0% 100 Pill20.4 16.0 30.632.8 100 IUD19.0 13.8 37.929.3 100 Vasectomy53.8 15.4 23.17.7 100 Tubal ligation33.8 27.7 18.520.0 100 All methods17.0% 19.5% 35.6%27.9% 100 Note: Subsidy calculated as difference between public-sector and privatesector prices, multiplied by share of public-sector consumption.
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From page 12...
... The poorest quartile of households was more likely to have access only to public-sector providers. And these are recent data from Indonesia, a country that has made a substantial and sustained effort to make contraceptives universally available and, in recent years, to stimulate private-sector provision of contraception.
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Key Terms

  • public sector
  • poorest quarter
  • total subsidy
  • contraceptive method
  • services versus

  • subsidies accruing
  • social arguments
  • subsidy accrued
  • money prices
  • indonesian data

  • collecting information
  • targeting services
  • diffusion models
  • expert meeting
  • subsidized contraceptives

  • poorest women
  • total value
  • lower prices
  • fertility regulation
  • educated people

  • varied considerably
  • normal demand
  • richest half
  • price increases
  • intermediate goal

  • contraceptives universally
  • alternative strategies
  • subsidized public
  • recent data
  • study varied


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