Resource Allocation for Family Planning in Developing Countries Report of a Meeting (1995) / Chapter Skim
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The Effects of Program Subsidies on Contraceptive Use and Fertility
The Effects of Program Subsidies on Contraceptive Use and Fertility
Pages 6-9
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From page 6... ...
But if, for many clients, family planning is merely a useful service that people value and would like to have provided free of charge, then it is one among many such services and there is nothing especially compelling about providing such services at public expense (Demeny, 1994~. Gabriel Ojeda referred to an intangible "understandable attitude" on the part of donors that had supported programs in some countries for long periods, which he likened to "the weariness parents feel when they see their grown-up children stranded indefinitely in their parental home doing little or nothing to earn their keep." Throughout the meeting, different views were expressed on this point.
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From page 7... ...
If family planning program inputs do not greatly affect the pace of fertility decline, then it is possible that subsidized services from the public sector are merely substituting for sources and methods of fertility regulation that couples would adopt in any event. In this view, some countries have high fertility rates because that is what couples want; modern contraceptives supplied by the programs may substitute for contraceptives couples would have obtained even at market prices, or more commonly for the more risky or unpleasant alternatives like abstinence, withdrawal, abortion, and infanticide.
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From page 8... ...
Simpler models relating family planning effort and a generalized index of development to fertility decline, in his view, cannot be used to produce unbiased estimates of program effects. Analyses of nonexperimental data, even those using multivariate techniques, will produce biased estimates of the independent effects of program inputs unless models incorporate some method for correcting the problem of nonrandom allocation of program inputs.
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From page 9... ...
If policy makers are concerned about the method mix, for example, or about promoting condom use for control of sexually transmitted diseases, then they would want to consider keeping prices low for particular methods, like condoms. Perhaps less obviously, for a given target revenue, the impact on overall contraceptive prevalence will be lower if the prices are raised more than average for methods with low elasticity of demand
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