Using a regression discontinuity design, we find that eligible household heads surveyed just after an unconditional cash transfer in Indonesia report a 0.4 standard deviation improvement in sleep quality compared to those surveyed just before, and they perform better on cognitive tasks sensitive to sleep deprivation. The cash transfer appears to alleviate financial concerns for household heads—typically the breadwinners—improving their sleep. Postdisbursement, eligible households increase savings and reduce debts, and household heads feel less worried, frustrated, and tired. These effects are not observed in ineligible household heads or other members of eligible households. (JEL D12, D91, G51, I38, O12, O16)
Duquennois et al. (2026) studied this question.