Algorithmic Targeting for Direct Social Assistance: Eliminating Leakage and Calculating the Vulnerability Gap in Emerging Economies
This paper proposes the "Algorithmic Vulnerability Gap" (AVG), a novel microeconomic framework that replaces traditional Proxy Means Testing with a dynamic deficit calculation to accurately identify household vulnerability in emerging economies, thereby eliminating subsidy leakage and precisely determining sovereign budget requirements through large-scale simulations and empirical validation in Nigeria.
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