“Direct cash looks 3-4x more cost-effective in a new GiveWell assessment”

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Link post

Summary:

• The charity evaluator GiveWell increased their rating of the cost-effectiveness of GiveDirectly’s Cash for Poverty Relief program by 3-4x after reevaluating our work, including assessing new evidence.

• This update was driven by new estimates of direct cash’s positive impact on local economies, consumption, and child mortality, which show our work (past & present) is more impactful than they’d previously assumed.

• This update hasn’t changed GiveWell’s top charity and funding recommendations, but this could shift in the future.

• We’re excited about this update and look forward to continued conversations with GiveWell, as we continue to generate new evidence on cash’s long-term impact which may shift their assumptions again.

From GiveWell’s post:

We estimate that this program is ~3-4x more cost-effective than we had previously estimated, and around ~30-40% as cost-effective as our marginal funding opportunity.

Nick Allardice (GiveDirectly’s CEO) has posted this video.