Systemic Shocks and Social Protection Role and Effectiveness of Public Works Programs

Public workfare programs have been important counter-cyclical program interventions in both developed and developing countries. In the developing world generally and in Africa and Asia particularly, public works programs have been significant policy instruments for mitigating the negative effects of climatic and systemic risks on poor farmers and unskilled and semi-skilled workers. The paper first discusses the rationale behind workfare programs in the context of social risk management and goes on to give an overview of workfare programs in Africa and Asia with respect to such design features as wage rates and labor intensity and to how they were selected and implemented. Using available estimates and evaluations, the evidence on whether these programs have achieved their goals and are cost-effective is presented. Finally, the paper concludes with summary lessons from experience.