CHAPTER 1 Introduction
he CDD approach has become a key strategy that is used by both governments and organizations that sponsor development assistance programs (Gillespie 2004; Mansuri and Rao 2004; Platteau 2004). The appeal of CDD arose from recent efforts to (1) empower local communities to participate in decisionmaking and implementation of development programs and (2) promote democracy and decentralization (Manor 1999; Dongier et al. 2001; Kohl 2003; Dasgupta and Beard 2007). Social inclusiveness is one of the key features of CDD programs, for the purpose of fostering involvement of the poor and vulnerable in such interventions. To ensure community par- ticipation in decisionmaking, CDD programs are demand driven and support groups or communities rather than individuals (Dongier et al. 2001; Binswanger and Aiyar 2003).
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Empirical evidence of the effectiveness of CDD in achieving these objec- tives is mixed (Mansuri and Rao 2004). Among the interesting questions that have captured the attention of scholars are the sustainability of donor- supported and/or government-managed CDD and its effectiveness in target- ing the poor and vulnerable. Khwaja (2001) observed that projects managed by communities were more sustainable than those managed by local govern- ments because of better maintenance. Labonne and Chase (2008) also showed that CDD projects improved trust among group members, increased partici- pation in village assemblies, and generally increased social capital among community members. However, Mosse (1997), Cleaver (1999), and Kleimeer (2000) found that CDD projects that lacked external institutional, financial, and technical support were not sustainable. Similarly, Labonne and Chase (2008) observed that CDD projects led to less investment in other projects and did not have significant impacts on membership in development groups compared to control villages.
Targeting the poor has been found to be one of the challenges of the CDD approach (Farrington and Slater 2006). One argument in favor of CDD asserts that it can improve targeting because CDD projects make better use of local
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