Not to dismiss your experience as a resident of a country that's received significant aid, but there's substantial evidence that cash transfers work, which GiveDirectly has compiled[0], including the following benefits:
—Adults more likely to work, even five years later.
—Children are healthier and get more education.
—Adults do not spend the extra money on things like alcohol or tobacco.
—Adults make significantly more when surveyed years after receiving the cash grant.
GiveWell, which has spent a lot of effort evaluating GiveDirectly, does have some lingering concerns [1] that programs like GiveDirectly's might worsen inflation or hurt people who don't receive a grant and live nearby. Research on these questions isn't conclusive, but suggests some minor, short-term effects. I suspect broadening programs to more recipients will mitigate the latter problem.
—Adults more likely to work, even five years later.
—Children are healthier and get more education.
—Adults do not spend the extra money on things like alcohol or tobacco.
—Adults make significantly more when surveyed years after receiving the cash grant.
GiveWell, which has spent a lot of effort evaluating GiveDirectly, does have some lingering concerns [1] that programs like GiveDirectly's might worsen inflation or hurt people who don't receive a grant and live nearby. Research on these questions isn't conclusive, but suggests some minor, short-term effects. I suspect broadening programs to more recipients will mitigate the latter problem.
[0]: https://givedirectly.org/research-on-cash-transfers
[1]: http://www.givewell.org/international/technical/programs/cas...
Update: Fixed formatting and added to final paragraph.