Background
Overview
Understanding targeting errors is crucial for improving governance, ensuring efficient resource allocation, and enhancing the effectiveness and equity of public welfare programs. It highlights fundamental challenges in beneficiary identification and the political economy of welfare delivery.
Targeting errors refer to inefficiencies in welfare program delivery where benefits either reach ineligible households (inclusion errors) or eligible households are left out (exclusion errors). These errors undermine the effectiveness and equity of welfare schemes, leading to significant social and political costs.