This book provides the first systematic evaluation of the impact and effectiveness of China’s primary social assistance program, Minimum Livelihood Guarantee, or Dibao. Dibao serves the dual functions of providing a basic safety net for the poor and maintaining political and social stability. Despite currently being the world’s largest welfare program in terms of population coverage, evidence on Dibao’s performance has been lacking. This book offers important new empirical evidence and draws policy lessons that are timely and useful for both China and beyond. Specifically, the book addresses t ... More

This book provides the first systematic evaluation of the impact and effectiveness of China’s primary social assistance program, Minimum Livelihood Guarantee, or Dibao. Dibao serves the dual functions of providing a basic safety net for the poor and maintaining political and social stability. Despite currently being the world’s largest welfare program in terms of population coverage, evidence on Dibao’s performance has been lacking. This book offers important new empirical evidence and draws policy lessons that are timely and useful for both China and beyond. Specifically, the book addresses the following questions: How effective has Dibao been in targeting the poor and alleviating poverty? Have Dibao recipients been dependent on welfare or able to move from welfare to work? How has Dibao affected their consumption patterns and subjective well-being? Do they use the Dibao subsidy to meet survival needs (such as food, clothing, and shelter) or invest in human capital (such as health and education)? Are they distressed by the stigma associated with receiving Dibao, or do they become more optimistic about the future and enjoy greater life satisfaction because of Dibao support? And finally, what policy lessons can we learn from the existing evidence to strengthen and improve Dibao in the future? Answers to these questions not only help us gain an in-depth understanding of Dibao’s performance but also add the Chinese case to the growing international literature on comparative welfare studies.