Reyes, Angela; Rose h, Benjamin; Ve a Cossío, Diego Alejand o
Wo king Pape
Technology, iden i ica ion, and access o social p og ams:
Expe imen al e idence om Panama
IDB Wo king Pape Se ies, No. IDB-WP-1261
P o ided in Coope a ion wi h:
In e -Ame ican De elopmen Bank (IDB), Washing on, DC
Sugges ed Ci a ion: Reyes, Angela; Rose h, Benjamin; Ve a Cossío, Diego Alejand o (2021) :
Technology, iden i ica ion, and access o social p og ams: Expe imen al e idence om Panama, IDB
Wo king Pape Se ies, No. IDB-WP-1261, In e -Ame ican De elopmen Bank (IDB), Washing on, DC,
h ps://doi.o g/10.18235/0003485
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Technology, Iden i ica ion, and Access o Social
P og ams:
Expe imen al E idence om Panama
A
ngela Reyes
Benjamin Rose h
Diego A. Ve a-Cossio
IDB WORKING PAPER SERIES Nº IDB-WP-1261
A
ugus 2021
Depa men o Resea ch and Chie Economis
In e -Ame ican De elopmen Bank
A
ugus 2021
Technology, Iden i ica ion, and Access o Social
P og ams:
Expe imen al E idence om Panama
A
ngela Reyes
Benjamin Rose h
Diego A. Ve a-Cossio
In e -Ame ican De elopmen Bank
Ca aloging-in-Publica ion da a p o ided by he
In e -Ame ican De elopmen Bank
Felipe He e a Lib a y
Reyes, Angela Ma ía.
Technology, iden i ica ion, and access o social p og ams: expe imen al e idence om
Panama / Angela Reyes, Benjamin Rose h, Diego A. Ve a-Cossio.
p. cm. — (IDB Wo king Pape Se ies ; 1261)
Includes bibliog aphic e e ences.
1. Iden i ica ion ca ds-Panama-Econome ic models. 2. In e ne in public
adminis a ion-Panama-Econome ic models. 3. Panama-Social policy. I. Rose h,
Benjamin. II. Ve a-Cossio, Diego A. III. In e -Ame ican De elopmen Bank.
Depa men o Resea ch and Chie Economis . IV. Ti le. V. Se ies.
IDB-WP-1261
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h p://www.iadb.o g
2021
Abs ac
Access o iden i ica ion ca ds (IDs) is o en equi ed o claim go -
e nmen bene i s. Howe e , i is unclea which policies o inc ease ID
owne ship a e mo e e ec i e. We expe imen ally analyze he e ec o
wo policy in e en ions o induce he imely enewal o iden i ica ion
ca ds on access o a go e nmen social p og am in Panama. Sending
eminde s abou expi a ion da es inc eased he p obabili y o on- ime
enewals and o accessing o bene i s om a social p og am by 12 and 4.3
pe cen age poin s, espec i ely, ela i e o a con ol g oup. In con as ,
allowing indi iduals o enew hei ID online only inc eased enewals and
access o bene i s by 8 and 2.9 pe cen age poin s, espec i ely. This esul
was d i en by lowe -income indi iduals. The esul s sugges ha policies
o inc ease owne ship o alid iden i y documen a ion can e-duce
inclusion e o s in go e nmen p og ams and ha simply g an ing access
o digi al ools may no be enough o unlock impo an e ec s.1
JEL classi ica ions:D90,H53,I38
Keywo ds: Digi iza ion, Nudges, Social p o ec ion
1Acknowledgemen s: We would like o hank Ma ´ıa In´es Vasquez o he cons an
suppo h oughou his p ojec . We a e g a e ul o Sa a Espino, Edua do Valdez, Jose
Luis Jim´enez, Vic o Rod ´ıguez, Ma ´ıa Tu˜n´on, John Palm and he s a o T ibunal Elec-
o al and AIG (Au o idad Nacional pa a la Inno aci´on Gube namen al) o hei suppo
in g an ing access o he adminis a i e eco ds. Sebas i´an Espinoza and Da id Va gas
p o ided supe b esea ch assis ance. We would also like o hank Raz an Vlaicu, Mau i-
cio Rome o, Sebas i´an Gallegos, Juli´an C is ia, and Julie h San ama ´ıa o aluable eed-
back. All e o s a e ou own. Opinions, indings, conclusions, and ecommenda ions ex-
p essed he e a e hose o he au ho s and do no necessa ily e lec he iews o he In e -
Ame ican De elopmen Bank. A andomized con olled ials egis y en y is a ailable a
h ps://www.socialscience egis y.o g/ ials/5371

I In oduc ion
Go e nmen s commi an impo an sha e o hei budge s o edis ibu i e
policies (Wo ld Bank, 2018), bu such policies o en ail o be de ac o p o-
g essi e. While social p og ams end o be designed o a ge hose in need,
indi iduals may no ha e access o he mos basic inpu s, such as o icial iden-
i y documen a ion, o in e ac wi h he go e nmen and claim hei bene i s
(Wo ld Bank, 2019).
Inc easing he owne ship o alid iden i ica ion ca ds (IDs) is none heless
challenging. Beyond supply-side cons ain s, issues o limi ed a en ion o
misin o ma ion and ime-consuming adminis a i e p ocesses may de e indi-
iduals om ob aining a alid ID. Technology o e s he p omise o ackling
hese issues, ei he by easing he low o in o ma ion be ween he go e nmen
and ci izens o by educing ansac ion cos s. Howe e , i indi iduals can-
no ully ake ad an age o i , elying on echnology can gene a e exclusion,
especially among he mos ulne able indi iduals (Mu alidha an e al., 2020).
Despi e he impo ance o ID owne ship, he e is li le causal e idence
on he e ec o digi al ini ia i es o inc ease alid ID owne ship and on hei
e ec s on access o go e nmen bene i s and, subsequen ly, on ci izens’ wel a e.
This pape ills hese gaps by expe imen ally s udying he e ec o wo popula
digi al policy ools: he p o ision o eminde s h ough SMSs and access o an
online pla o m o ID enewals.
We pa ne ed wi h Panama’s T ibunal Elec o al (TE), he go e nmen o -
ice ha o e sees he issuing o IDs, o e alua e an ini ia i e o acili a e he
on- ime enewal o go e nmen IDs. Fo his pu pose, we andomly alloca ed
all ci izens wi h a ailable con ac in o ma ion and whose IDs we e se o ex-
pi e be ween Janua y 2020 and Augus 2020 in o wo ea men g oups and
2
a con ol g oup. Indi iduals assigned o he i s ea men a m we e gi en
he op ion o enew hei IDs using an online pla o m and hus a oid one
in-pe son isi o TE’s o ices ( he online ea men ). Indi iduals we e no i-
ied h ough ex messages (SMSs) which included a eminde o hei ID’s
expi a ion da e and a pe sonalized link o he online pla o m. They also e-
cei ed weekly ollow-up messages wi h simila con en ei he un il ou weeks
a e hei ID’s expi a ion da e o un il hey enewed hei ID. To isola e he
e ec s o he eminde s om he online enewal op ion, a subse o indi idu-
als ecei ed SMS eminde s o hei ID’s expi a ion da e bu wi hou access
o he online enewal p ocess ( he eminde ea men ). Finally, a subse o
indi iduals was alloca ed o a con ol g oup ha did no ecei e any eminde
and could only enew hei IDs in pe son.
The in e en ion was o iginally se o end in Augus 2020, bu i was
suspended on Ma ch 20, 2020 due o he ou b eak o he COVID-19 pandemic.
Thus, ou analysis uses he obse a ions o ci izens in he ea men g oups
who, based on hei IDs’ expi a ion da e, ecei ed an SMS om T ibunal
Elec o al, and obse a ions o ci izens in he con ol g oup who, based on
hei IDs’ expi a ion da e, would ha e ecei ed an SMS had hey been in he
ea men g oups.
We ind ha bo h ea men s we e e ec i e a inducing ID enewals. Two
mon hs a e he in e en ion was suspended, indi iduals in ei he ea men
g oup we e 10 pe cen age poin s mo e likely o ha e enewed hei IDs, ela i e
o indi iduals in he con ol g oup. These e ec s we e la gely d i en by he
eminde ea men . Simply sending a eminde inc eased he p obabili y o
enewal by 12.3 pe cen age poin s, a 21 pe cen inc ease ela i e o he con ol
g oup mean. In con as , sending a eminde wi h access o he online pla o m
only inc eased he p obabili y o enewal by 8.7 pe cen age poin s. These
3
e ec s a e s a is ically di e en om hose achie ed by simply sending he
eminde message (p- alue=0.07).
The ela i ely poo pe o mance o he online ea men does no seem o
be ela ed o low ake-up o he online enewal pla o m. Ra he , i seems
ela ed o ba ie s o comple ing he p ocess online. Twen y i e pe cen o
he ci izens in he online ea men a m s a ed he online enewal p ocess,
bu only 6% comple ed i (a success a e o 23%). Olde (age below he sample
median) indi iduals and indi iduals wi hou a college deg ee we e less likely
o comple e he enewal p ocess online. This sugges s ha he di icul ies
expe ienced du ing he online enewal p ocess may ha e dissuaded indi iduals
om enewing hei IDs a all, e en hough he in-pe son enewal p ocess was
s ill a ailable o hem. This, in u n, o se he posi i e impac s o eminde s.
We nex analyze i he in e en ion also inc eased he access and usage
o eme gency go e nmen bene i s. S a ing Ap il 2020, a ew weeks a e
he in e en ion was suspended, he go e nmen olled ou Vale Digi al, an
in-kind ans e p og am ha deli e ed digi al ouche s o $PBA 100 ($USD
100) on a mon hly basis by linking hem o he ba o QR codes o he ID
ca ds o ecipien s.2Thus, ID ca ds u ned in o debi ca ds o he pu chase o
ood, medicines and cleaning supplies om pa icipa ing endo s. En ollmen
was au oma ic, and indi iduals we e eligible as long as hey li ed in locali ies
(co egimien os) wi h pa icipa ing endo s and we e no o mally employed.
Howe e , bene icia ies could lose eligibili y i hey ailed o use hei bene i s
a all o h ee consecu i e mon hs.
Using adminis a i e eco ds o p og am disbu semen s and ouche usage,
we ind ha , i e mon hs a e he ini ial ollou o he p og am, indi iduals
2The mon hly ouche amoun ep esen s oughly 69 and 93% o he u ban and u al
po e y line in 2019, espec i ely.
4
in ei he ea men g oup we e 3.6 pe cen age poin s mo e likely o ecei e
he ans e s han indi iduals in he con ol g oup; o al ouche spending
was 11.3 pe cen highe ela i e o he con ol g oup. In bo h cases, he e -
ec s we e d i en by he eminde ea men —a 4.3 pe cen age-poin inc ease
in ouche ecep ion (p- alue<0.05). In addi ion, he in e en ion may ha e
p e en ed some exclusion e o s, making he p og am de ac o mo e p og es-
si e; he e ec s on access and spending a e d i en by households in low-income
locali ies.
These e ec s a ise despi e he ac ha he go e nmen ex ended he alid-
i y o expi ed IDs weeks a e he in e en ion ended. By inc easing he chance
o ha ing upda ed esidence in o ma ion, he in e en ion may ha e inc eased
access o bene i s o indi iduals in p og am locali ies. Al e na i ely, ea ed
indi iduals could ha e subs i u ed a los o damaged ID ca d by a new one—
educing he isk o expe iencing p oblems o access hei esou ces h ough
he digi al ouche —o could simply be mo e awa e o go e nmen se ices.
Using ollow-up su eys, we ind sugges i e e idence ha , among indi iduals in
lowe -income locali ies, he in e en ion educed he p obabili y o expe ienc-
ing p oblems edeeming he ouche s and inc eased he use o online pla o ms
o check p og am eligibili y, ouche balance, and p og am in o ma ion.
O e all, he esul s sugges s ha in e en ions o inc ease ID enewals can
inc ease access o downs eam go e nmen bene i s and imp o e a ge ing.
They also sugges ha elying on digi al pla o ms o conduc go e nmen
ansac ions may no always deli e . A bad use expe ience wi h he online
enewal p ocess ended up de e ing use s om enewing hei IDs, e en hough
he adi ional in-pe son me hod was s ill a ailable, and a enua ed he posi-
i e impac s o eminde s, bo h in e ms o ID enewals and access o he digi al
ouche s. A simple coun e ac ual analysis sugges s ha , had he indi iduals
5
numbe , and ma i al s a us, among o he i ems). I he in o ma ion was co -
ec , hey could mo e o wa d o he second s ep. I hey a emp ed o modi y
i , he sys em would p omp hem o isi an o ice in pe son, as he online
applica ion did no allow o such changes, pe TE equi emen s. Second, pa -
icipan s we e asked o e i y o modi y hei add ess and phone numbe .10
Thi d, pa icipan s we e p omp ed o upda e hei pho o ei he by aking
a pic u e wi h hei de ice o by uploading an exis ing pic u e.11 Fou h,
pa icipan s we e asked o e i y o upda e hei signa u e.12 Finally, he pa -
icipan s could selec hei p e e ed ID pick-up loca ion, e iew and submi
hei applica ion.
A e each submission, he s a om TE alida ed and conduc ed quali y
checks on he da a, pho og aph and signa u es p o ided in he online appli-
ca ion. I he applica ion ailed o comply wi h quali y equi emen s, he TE
con ac ed pa icipan s ia email asking hem o eplace hei pho o o signa-
u e. In he case o h ee ailed a emp s o sol e he issues, he pa icipan
was p omp ed o isi a TE o ice o comple e he ansac ion ollowing he
s a us quo p ocess. In he case o success ul online enewals, pa icipan s we e
10This in o ma ion could be modi ied online, bu i he use decided o do so hey could
no choose a di e en pick-up o ice han he one co esponding o he co egimien o o he
modi ied add ess.
11The applica ion was equipped wi h a powe ul biome ic moni o ha could e i y ha
he pic u e ollowed he TE quali y and echnical pho o equi emen s such as a whi e,
uni o m backg ound and being in colo . In addi ion, he pa icipan s we e equi ed o be
acing he on wi h a neu al acial exp ession, wi hou wea ing accesso ies o sunglasses
and wi h hei hai behind he ea s. The pho og aph could no be aken wi h he on al
came a o he phone.
12To upda e he signa u e, use s had o sign on a blank pape and ake a pic u e o hei
signa u e wi h hei mobile de ice o webcam, which would be au oma ically digi ized by
he applica ion.
12

au oma ically no i ied when hei ID was eady o pickup. A dedica ed cha
line was made a ailable o p o ide cus ome suppo .
III.C Randomiza ion
We g ouped indi iduals in ou s udy popula ion in o andomiza ion s a a
based on hei geog aphical loca ion (co egimien os) and wo g oups based on
expi a ion da es (be o e and a e Feb ua y 20, 2020).13 On a e age, he e we e
81 indi iduals pe s a um. Wi hin each s a um, indi iduals we e andomized
wi h equal p obabili y in o he h ee a o emen ioned expe imen al g oups.
III.D Implemen a ion
The i s message was sen on Janua y 29 , 2020. The in e en ion was sched-
uled o las un il Sep embe 2020, bu i was suspended on Ma ch 17, 2020 due
o he COVID-19 pandemic. Amid he pandemic, he go e nmen manda ed
mobili y limi a ions and es ic ed in-pe son se ices p o ided by go e nmen
agencies, including in-pe son and online ID enewals. In addi ion, o ensu e
ha he dis up ion o se ices did no d ama ically a ec ci izens wi h expi -
ing IDs he go e nmen ex ended he alidi y o expi ed IDs un il Augus 31,
2020. This ex ension was announced in Ap il 2020, a e he in e en ion was
suspended. Figu e 1 p esen s a imeline o impo an e en s ela ed o his
s udy.
13The i s g oup included indi iduals whose IDs we e se o expi e be ween Janua y
20,2020 o Feb ua y 19, 2020. The second g oup included indi iduals wi h ID expi a ion
da es be ween Feb ua y 21, 2020 and Augus 20, 2020. The i s g oup was in ended o be
a s udy pilo g oup. Howe e , as he in e en ion was discon inued on Ma ch 17, 2020, we
decided o epo esul s using all indi iduals wi h IDs expi ing be ween Janua y 20, 2020
and Ma ch 20, 2020 o make up o he loss in obse a ions.
13
Th oughou he pape we epo esul s co esponding o 3,459 indi iduals
wi h IDs ha expi ed be ween Janua y 20, 2020 and Ma ch 20, 2020. This
sample mos ly includes pa icipan s om bo h ea men a ms who we e a
leas po en ially exposed o ou eminde s be o e hei expi a ion da es and
indi iduals in he con ol g oup who, based on hei IDs expi a ion da e, would
ha e been exposed o eminde s had hey been in ei he ea men g oup. How-
e e , a small subse o pa icipan s we e only pa ially ea ed as, based on
hei ID expi a ion da e, hey only ecei ed no i ica ions a e hei ID was ex-
pi ed (477 pa icipan s wi h ID expi a ion da es be ween Janua y 20-29, 2020)
o only ecei ed no i ica ions be o e he expi a ion da e (445 pa icipan s wi h
IDs expi a ion da e be ween Ma ch 13-20, 2020). This subsample excludes
indi iduals whose IDs we e se o expi e be ween Ma ch 20 and Ap il 20, 2020
whose esponse o he in e en ion (i ea ed) would ha e been limi ed by
o ice closu es and he suspension o he online pla o m.
We show ha he implemen a ion dis up ion did no comp omise he a-
lidi y o he expe imen al design. Fi s , we show ha , a leas in e ms o
obse able cha ac e is ics, he indi iduals in he educed sample do no seem
o di e om hose in he ini ial s udy popula ion. Second, we show ha
ea men assignmen is balanced among se e al obse able cha ac e is ics in
he educed sample. We discuss hese esul s in mo e de ail in Sec ions III.E
and IV.
III.E Da a
We use adminis a i e eco ds co esponding o indi iduals in ou s udy popu-
la ion. The adminis a i e eco ds include baseline in o ma ion ega ding he
ID’s expi a ion da e, whe he he ID was enewed, he da e o enewal and he
14
p ocess h ough which i was enewed (in-pe son and online). The da ase also
eco ds in o ma ion on demog aphic cha ac e is ics such as gende , age, ci il
s a us, numbe o child en and home loca ion. We use hese da a o conduc
balance es s and o con ol o demog aphic cha ac e is ics o inc ease powe .
We also ob ained adminis a i e da a on ID enewals up o May 2020
(accessed in June 2020), wo mon hs a e he in e en ion was discon inued.
These da a include in o ma ion on enewals, he mode o enewal (in-pe son
o online), he da e o enewal, and on he las s ep comple ed in he online
p ocess.
Because only indi iduals wi h ID expi a ion da es be ween Janua y 20 and
Ma ch 20, 2020 we e po en ially exposed o he ea men ,14 he adminis a i e
eco ds enable us o use da a om he subse o po en ially exposed indi id-
uals o compu e ea men e ec s and use da a om un ea ed indi iduals,
who we e ini ially andomized in o ea men and con ol g oups, o compu e
placebo e ec s and alida e ou esea ch design.
We complemen he adminis a i e da a wi h phone su ey da a collec ed
be ween la e Augus and ea ly No embe 2020. We collec ed a andom sample
o 1,109 esponses om a o al o 3,459 pa icipan s wi h ID expi a ion da es
be ween Janua y 20 and Ma ch 20, 2020, dis ibu ed equally ac oss s udy a ms.
The su ey collec ed in o ma ion abou ime and mone a y cos s ela ed o he
ID enewal, usage o online go e nmen and comme cial pla o ms, us in he
implemen ing agency and access o eme gency-aid p og ams.
Table 1 epo s summa y s a is ics based on adminis a i e and phone-
su ey da a. Columns 1 and 2 epo means co esponding o all indi iduals
14As men ioned be o e, his g oup includes pa icipan s in he Reminde and Online
ea men as well as pa icipan s in he con ol g oup who, based on he expi a ion da e o
hei IDs, would ha e ecei ed SMSs had hey been in he ea men g oup.
15
in he ini ial s udy popula ion and o indi iduals whose IDs we e se o ex-
pi e be ween Janua y 20 and Ma ch 20, 2020. Column 2 shows ha 39% o
pa icipan s we e males, 36% we e ma ied, 77% had child en and he a e age
age was 42 yea s old.15 These means a e e y simila o hose co esponding
o Column 1 and sugges ha he indi iduals in he educed sample do no
sys ema ically di e om hose in he ini ial s udy popula ion.
In addi ion, Column 3 shows ha esponden s om he phone su eys did
no subs an ially di e in e ms o obse able demog aphic cha ac e is ics. Fi-
nally, Column 4 epo s summa y s a is ics om a na ionally ep esen a i e
su ey in Panama collec ed in 2018 (Encues a de P op´osi os Mul iples). S udy
pa icipan s do no appea o di e sys ema ically in e ms o obse able cha -
ac e is ics, bu hey seem o ha e highe access o an in e ne connec ion.
IV E ec s on ID Renewals
We ob ain es ima es o he causal e ec o he in e en ion on ID enewals
h ough he ollowing equa ion:
Renewali=β0+β1T ea men i+XiΣ + θs+i(1)
whe e Renewali akes he alue o 1 i indi idual i enewed he ID by May
31, 2020. T ea men iis an indica o ha akes he alue o 1 i he ci izen
is in ei he ea men ( eminde o eminde and access o online enewal),
15Because IDs a e se o expi e e e y 10 yea s and adul ID ca ds a e only gi en ou o
indi iduals when hey each he legal age o 18 yea s old, he age o he indi iduals in he
s udy is bounded om below a 28 yea s old. In addi ion, he age o he indi iduals in he
s udy is bounded om abo e a 70 yea s old, as IDs gi en o people 70 yea s old o olde
a e no se o expi e.
16
and ze o in he case o ci izens in he con ol g oup. To inc ease p ecision, we
also include a ec o o p ede e mined demog aphic cha ac e is ics (Xi) such
as age, gende , numbe o child en, ci il s a us and ID expi a ion da e. When
we use su ey da a, we also con ol o le els o educa ion. Finally, we include
s a a ixed e ec s o accoun o he s udy design. Following Abadie e al.
(2017), we use obus s anda d e o s—i.e., s anda d e o s clus e ed a he
indi idual le el—as he uni o ea men is he indi idual. The coe icien o
in e es is β1which cap u es he e ec o he in e en ion on ID enewals.
To dis inguish he e ec s o eminde s (Reminde ea men ) om hose
o he inc eased access o online enewals (Online ea men ), we also epo
es ima es o he ollowing equa ion:
Renewali=α0+α1Reminde i+α2Onlinei+XiΣ + θs+i(2)
He e, Reminde iis an indica o o whe he he ci izen ecei ed a eminde
o he expi a ion da a h ough ex messages and Onlineiis an indica o o
whe he he ci izen also was allowed o enew hei ID h ough T ibunal Elec-
o al websi e. In his case we a e in e es ed in h ee coe icien s: α1which
cap u es he causal e ec o eminde s, α2which cap u es he e ec o e-
minde s plus access o online enewal, and α2−α1which cap u es he e ec
o access o he online pla o m, ne o he e ec o eminde s unde he as-
sump ion o no complemen a i ies be ween he online enewal and eminde
ea men s.
Balance and A i ion
Online Appendix Table A1 epo s means co esponding o a ba e y o demo-
g aphic cha ac e is ics o con ol ci izens in Column 1 and o ci izens in he
17

Reminde and Online g oups in Columns 2 and 3, o pa icipan s whose IDs
we e se o expi e be ween Janua y 20 and Ma ch 20, 2020. Columns 4 epo s
di e ences in means be ween ea ed indi iduals ( ega dless o he ea men )
and con ol indi iduals, a e adjus ing o s a a ixed e ec s. Columns 5
and 6 epo di e ences in means o indi iduals in he Reminde and On-
line g oups wi h espec o he con ol g oup, espec i ely. Finally, Column
7 epo s di e ences in means be ween ci izens in he Reminde and Online
ea men s.
Panel A uses adminis a i e da a co esponding o indi iduals whose IDs
we e se o expi e be ween Janua y 20 and Ma ch 20, 2020. I shows ha
he e a e no signi ican di e ences in e ms o demog aphic cha ac e is ics o
expi a ion da es be ween ea men and con ol g oups. T ea ed indi iduals,
howe e , seem less likely o ha e only a cell phone numbe egis e ed in T i-
bunal Elec o al eco ds, as opposed o bo h a cell phone and an email add ess.
These di e ences a e small ela i e o he sample mean (0.6) and a e likely
ound by chance; we a e no able o ejec he null o no di e ences be ween
ea men and con ol g oups in he eigh co a ia es included in Panel A. This
sugges ha despi e he dis up ion in he in e en ion due o he pandemic, he
alidi y o he ini ial expe imen al design was no comp omised. Table A2 in
he Online Appendix shows a balance able using he ini ial s udy popula ion
o compa ison.
Reassu ingly, he e a e nei he subs an ial no signi ican di e ences be-
ween ea men and con ol g oups o be ween ea men a ms when we ana-
lyze he subsample o su ey esponden s (Panel B). Finally, o es o di e -
en ial a i ion by ea men g oup, Panel C epo s su ey esponse a es by
ea men s a us. We ind no e idence o di e en ial a i ion in he ollow-up
su ey.
18
IV.A Resul s
We begin by p o iding g aphical e idence o he e ec s o he in e en ion.
Figu e 2 epo s he cumula i e sha e o indi iduals who enewed hei IDs
wi hin each ea men g oup as a unc ion o weeks o/ om he expi a ion
da e. Fi e o mo e weeks be o e he expi a ion da e, he enewal a es a e
small and simila ac oss expe imen al g oups. As messages s a ed being sen
ou weeks be o e he expi a ion da e, he enewal a es s a o di e ge a in-
c easing a es un il he expi a ion da e (week 0), a e which he gaps be ween
ea men and con ol g oups emain ai ly cons an .
Table 2 con i ms hese pa e ns and shows ha he in e en ion was suc-
cess ul a inc easing enewals on ime. Column 1 shows ha , ela i e o he
con ol g oup, he p obabili y ha an indi idual enewed he o his ID in-
c eased by 10.5 pe cen age poin s. The e ec on enewals is la ge, as i ep-
esen s a 17 pe cen inc ease ela i e o he con ol g oup mean.16 Column
3 shows ha he e was an inc ease o 12 pe cen age poin s in he p obabili y
o enewing he ID on ime (be o e o on he expi a ion da e). The small
di e ence be ween he wo poin es ima es sugges s ha he e ec s o he in-
e en ion we e no d i en by p oc as ina o s who would ha e enewed hei
IDs anyway bu a e he expi a ion da e.
To dis inguish be ween he e ec o eminde s and access o he online pla -
o m, we analyze he e ec s o he in e en ion by ea men a m. Rela i e o
he con ol g oup, bo h he p obabili y o enewing an ID inc eased in bo h
16DellaVigna and Linos (2020) on a comp ehensi e e iew o he li e a u e documen ing
he e ec s o in e en ions p o iding “nudges” ind ha highly e ec i e in e en ions pub-
lished in academic jou nals end o inc ease ake-up o a ge ed ou comes by 8.7 pe cen age
poin s, and ha in e en ions implemen ed a scale by p ac i ione s in he Uni ed S a es
and he Uni ed Kingdom lead o inc eases in ake-up o 1.4 pe cen age poin s, on a e age.
19
ea men a ms bu by di e en magni udes. Column 2 epo s es ima es o
he e ec s o he in e en ion by ea men a m. Simply p o iding eminde s
inc eased he enewal a e by 12.3 pe cen age poin s, while he Online ea -
men only inc eased he p obabili y o enewal by 8.7 pe cen age poin s. This
di e ence is signi ican a he 10% le el (p- alue <0.07).
Columns 1 o 4 o Table A3 in he Online Appendix show simila poin
es ima es among he indi iduals who pa icipa ed in he phone su ey sample.
In addi ion, o alida e hese esul s, columns 5 o 8 epo esul s om a
placebo es using in o ma ion o indi iduals who we e o iginally assigned o
ea men and con ol g oups bu , because o he suspension o he in e en ion
and he expi a ion da es o hei IDs (Ap il o Augus 2020), we e no in ac
a ec ed by he in e en ion. Reassu ingly, he e a e nei he subs an ial no
signi ican di e ences.
The p e ious esul s a e consis en wi h models o limi ed a en ion o
excep ional asks as in Ka lan e al. (2016). As ID enewals a e due e e y 10
yea s, he idea o enewing he IDs may no be a he op o he indi iduals’
minds, and he in e en ion appea s o ha e educed issues ela ed o limi ed
memo y.17
IV.A.i Digi iza ion and Use Expe ience
The esul s discussed abo e also sugges ha p o iding access o he online
applica ion pa ially unde mined he posi i e e ec s o he eminde s. One
explana ion is ha indi iduals wi h access o he applica ion we e discou aged
by po en ial di icul ies wi h he online enewal p ocess. Indeed, only a small
17Ano he in e p e a ion is ha he message p o ided aluable in o ma ion, as he enewal
loca ions and p ocesses could ha e changed since he las ime; his is unlikely, howe e , as
he in o ma ion ha was p o ided was al eady a ailable e en be o e he in e en ion.
20
sha e o indi iduals we e able o comple e he enewal p ocess online. Column
6 in Panel A epo s ake-up a es o he online pla o m o 0.25 in he case o
indi iduals in he online ea men a m, bu Column 8 shows much lowe online
comple ion a es (0.06) among indi iduals in he online ea men , implying a
success a e o 24%.
Al hough mos o he s eps o he online enewal p ocess we e simple (e.g.,
con i ming and upda ing in o ma ion), o he s we e mo e complex. Panel A o
Table A4 in he Online Appendix shows ha mos use s epo ha he online
pla o m was easy o na iga e (82%). Howe e , bo h su ey and adminis a-
i e da a sugges ha he key bo leneck was aking he pho o: many use s
we e unable o mee he pla o m’s s ingen pho o quali y equi emen s. Fo y
pe cen o su ey esponden s epo ed p oblems aking o uploading he pho-
og aphs, which needed o comply wi h speci ic quali y equi emen s o ensu e
secu i y.18 Indeed, using adminis a i e da a on he online p ocess we ound
ha 60% o he indi iduals who s a ed he online p ocess s opped he p ocess
a e expe iencing p oblems wi h he pho og aph (see Panel B).
One explana ion o hese esul s is ha hey may be la gely d i en by
s uc u al ac o s such as in e ne access and educa ion le el, which may be
e en mo e ele an when he pla o ms a e no necessa ily use - iendly. Fo
ins ance, ecen e idence om 13 La in Ame ican coun ies sugges s ha ech-
nical p oblems wi h he online pla o ms and lack o cla i y in he ins uc ions
a e among he op wo di icul ies ci ed by use s o go e nmen online se ices
(Rose h e al., 2021).
18Recall ha he pho og aph had o be in colo and aken using a whi e, uni o m back-
g ound. In addi ion, he pa icipan s we e equi ed o be acing he on wi h a neu al
acial exp ession, wi hou wea ing accesso ies o sunglasses and wi h hei hai behind he
ea s.
21
a mon hly basis, he go e nmen eplica ed he alida ion p ocess, included
wo ke s whose con ac was suspended o e mina ed o he pool o bene icia-
ies and emo ed bene icia ies whose con ac s we e eac i a ed o who s a ed
a new con ac . Finally, al hough bene icia ies could ca y o e he balance
in hei ouche s o he nex mon h, hose bene icia ies who did no use hei
ouche s a all o h ee consecu i e mon hs we e au oma ically emo ed om
he p og am, and hei ouche balance was e u ned o he go e nmen .
Deli e ing bene i s h ough he ID ca ds could lead o highe cos s o ac-
cessing he unds o people who did no ha e a alid ID ca d o o people wi h
olde o damaged ca ds. To a enua e hese issues, s a ing Ap il 2020 (a e
he enewal in e en ion was suspended), he go e nmen ex ended he expi-
a ion da es o ID ca ds un il Augus 2020 and scaled up he online enewal
pla o m o eques duplica es o los ID ca ds.22 Despi e hese solu ions, he
in e en ion could s ill inc ease access o he digi al ouche s. Fi s , ea ed
bene icia ies we e mo e likely o ha e a ecen ID ca d wi h upda ed in o ma-
ion. This may ha e acili a ed da a e i ica ion ac oss go e nmen da abases.
Second, QR and ba codes in new IDs a e likely mo e legible han hose in
IDs eaching he end o hei 10-yea alidi y pe iod. This may also ha e e-
duced he issues ela ed o scanning p oblems a cashie s and educed he isk
o being sc eened ou om he p og am due o lack o use o he ouche s.
Thi d, he in e en ion inc eased awa eness abou he digi al se ices o e ed
by he go e nmen and could ha e inc eased he use o go e nmen pla o ms
o e i y eligibili y, upda e o egis e hei in o ma ion, eplace a missing o
damaged ID ca d, and sol e ouche usage p oblems.23
(bille e os).
22In Augus , he expi a ion da es was ex ended again un il Janua y, 2021.
23The go e nmen made a ailable a p og am websi e o consul a ions, and li e-cha assis-
28

V.B E ec s on Access o Social Bene i s du ing a C isis
To analyze he impac o he in e en ion on access o eme gency assis ance,
we use adminis a i e eco ds o disbu semen s and usage o Vale Digi al o
ea ed and con ol pa icipan s. Fo each pa icipan , we obse e whe he
hey ecei ed he ans e s du ing he i s mon h in which he p og am was
olled ou in hei locali y un il Augus 2020. We es ima e equa ion (1) using
an indica o o whe he he indi idual has ecei ed a leas one paymen o
Vale Digi al be ween Ap il and Augus 2020 as he dependen a iable. We
complemen hese da a wi h da a on o al disbu semen s and ouche spending
up o Augus 2020, which we accessed in Sep embe 2020 (see Figu e 1).24
Columns 1 and 2 in Table 5 shows ha he in e en ion inc eased he
p obabili y o ecei ing unds du ing Augus 2020 by 3.6 pe cen age poin s
(p- alue<0.05); an 11% inc ease ela i e o he mean o he con ol g oup.
Consis en wi h he e idence in Sec ion IV.A, Column 2 shows ha he poin
es ima es o he e ec s o he Reminde ea men (4.3 pp.) a e la ge han
hose o he Online ea men (2.9 pp), al hough he di e ence is no s a is-
ically signi ican . Columns 3 and 5 show ha he o al amoun o ans e s
ecei ed by each indi idual and o al ouche spending a e highe o ea ed
indi iduals. Bo h poin es ima es a e simila , sugges ing ha bene icia ies
we e indeed able o use hei ouche s. Columns 4 and 6 show ha he e ec s
on o al disbu semen s and spending a e d i en by he Reminde ea men .
To ensu e he alidi y o he esul s, Table A5 in he Online Appendix
ance se ice, he A en ion and Relie Response Sys em (S.A.R.A. by i s Spanish ac onym),
which was a ailable on he web and h ough he mos popula online messaging pla o ms.
In addi ion, he go e nmen also made a ailable a oll- ee line so ha bene icia ies could
ob ain assis ance by phone.
24Un o una ely, da a on mon hly disbu semen s and spending a e no a ailable o us.
29
epo s di e ences in ou comes be ween indi iduals assigned o he ea men
and con ol g oups bu who, based on he expi a ion da es o hei IDs and due
o he suspension o he in e en ion, we e no ac ually ea ed. Reassu ingly,
he e a e no subs an ial o signi ican e ec s in he placebo sample.
We analyze how he e ec s o he in e en ion a y by quin iles o baseline
pe capi a income measu ed a he locali y-o - esidence-le el using da a om
Panama’s 2011 po e y maps (Minis y o Finance, 2015).25 Figu e 3a shows
ha he e ec on he p obabili y o ecei ing digi al ouche s is subs an ially
highe o indi iduals li ing in a eas wi h he lowes pe capi a income. Speci -
ically, he 12.9 pe cen age poin inc ease in ouche ecep ion o indi iduals
in he lowes quin ile ep esen s oughly 39% o he con ol g oup mean (0.32,
see column 2 in Table A6 in he Online Appendix). Likewise, Figu e 3b shows
ha he e ec s on ouche spending a e d i en by indi iduals li ing in lowe -
income a eas, al hough we canno de ec sign ican di e ences wi h espec o
indi iduals in highe income quin iles (see Table A6 in he Online Appendix).
Appendix Figu e A1 shows a simila g adien when we use sel - epo ed da a
on income ca ego ies o he subsample o indi iduals who esponded o he
ollow-up su ey. The esul s sugges ha he in e en ion may ha e p e en ed
he exclusion o needy indi iduals.
V.B.i Mechanisms
Al hough he in e en ion may ha e p o ided upda ed in o ma ion o he go -
e nmen , i may ha e also inc eased ouche access and usage by o he channels
25Al hough we do no ha e p e-in e en ion da a on income a he indi idual le el, he
locali y-le el da a coincides wi h he andomiza ion s a a and hus using i minimizes he
isk ha he esul s a e d i en by lack o balance be ween ea men and con ol g oup by
income g oups as opposed o he e ogenei y.
30
oo. We analyze some o hese mechanisms using he subsample o su ey e-
sponden s in Table 6 Column 1 in Panel B eplica es he pa e ns desc ibed in
Figu e 3a. Column 2 shows simila pa e ns using a sel - epo ed measu e o
ecep ion o go e nmen eme gency aid (Vale Digi al bu also o he bene i s).
Column 3 in panel B shows ha he in e en ion educed he p obabili y o e-
po ing p oblems using go e nmen bene i s among indi iduals in low-income
a eas.26 This sugges s ha ea ed indi iduals wi h newe ID ca ds may ha e
been less p one o expe ience issues scanning hei IDs when making pu chases.
In addi ion, Column 4 shows ha , among indi iduals wi h lowe income, he
in e en ion inc eased an index o usage o digi al pla o ms ela ed o eme -
gency go e nmen bene i s.27 This sugges s ha he in e en ion may ha e
inc eased awa eness o o he digi al se ices p o ided by he go e nmen . Ta-
ble A7 in he Online Appendix shows simila esul s using sel - epo ed income
ca ego ies.
O e all, by inducing he enewal o ID ca ds, he in e en ion inc eased ac-
cess o go e nmen bene i s, pa icula ly among lowe -income indi iduals. One
implica ion is ha policies o inc ease access o alid iden i y documen a ion
can unlock impo an e ec s on access o downs eam go e nmen se ices and
bene i s.
26Speci ically, we asked whe he indi iduals o a amily membe had p oblems using o
cashing ou go e nmen bene i s du ing he h ee mon hs p eceding he ollow-up su ey.
27The index is made up o indica o s on he usage o online pla o ms o e i y eligibili y
o go e nmen bene i s, upda e da a o egis e on eme gency go e nmen bene i s and o
check he balance on digi al ouche s du ing he h ee mon hs p eceding he su ey. The
index is compu ed ollowing (Ande son, 2008).
31
VI Wel a e Implica ions
In his sec ion, we adap Finkels ein and No owidigdo (2019)’s amewo k o
compu e he social wel a e changes due o he in e en ion s udied in his
pape . We hen use hese wel a e changes as benchma ks o quan i y he
wel a e consequences o a coun e ac ual in e en ion ha sol es he usabili y
issues ela ed o he online enewal pla o m. Such compa ison would yield
es ima es o he wel a e gains ha can be achie ed i he usabili y issues ha
discou aged use s om enewing hei IDs online we e sol ed.
We model access o go e nmen bene i s as a unc ion o owne ship o a
alid ID and allow o mispe cep ions abou he bene i s o ha ing a alid ID
and ansac ion cos s o de e mine whe he an indi idual enews he o his
ID. Le y0and u(y0) deno e an indi idual’s income and u ili y i she does no
o enew he ID. I an indi idual owns a alid ID, she would ecei e a o al o
$PBA Bin bene i s om he go e nmen wi h p obabili y π. The indi idual’s
cos o enewing an ID is a unc ion o he ime needed o comple e he p ocess
τ alued a ma ke hou ly wages W, o he ees p(i.e., anspo a ion, enewal
ees, e c.) and o he cos s c(wi h p obabili y dis ibu ion (c)), such ha
he o al enewal cos is: τW +p+c. Indi iduals may o e o unde es ima e
he e u ns o owning a alid ID by and hus choose o enew hei ID i
he pe cei ed u ili y o doing so (ne o cos s) is highe han he u ili y o no
enewing hei ID: u(y0+ (1 + )πB)−τW −p−c > u(y0). Le c∗deno e he
cos s a which an indi idual would be indi e en be ween enewing hei ID
o no , he sha e o indi iduals choosing o enew hei ID Awill be de ined
by F(c∗).28
28No e ha ou amewo k is indeed e y simila o he applica ion o Finkels ein and
No owidigdo (2019)’s amewo k o SNAP applica ions. The main di e ences is ha , as
32
No e ha i indi iduals unde es ima e he bene i s o a alid ID by  < 0,
e.g., due o issues o limi ed a en ion o misin o ma ion, he enewal a e A
will be lowe han enewal a e in absence o mispe cep ions (i.e., = 0). In
addi ion, no e ha al hough an indi idual’s choice is based on he pe cei ed
gains om enewing an ID ((1 + )πB), he ac ual wel a e will depend on he
ac ual payo (πB).
We ollow Finkels ein and No owidigdo (2019) o de i e an exp ession o
he a e age p i a e wel a e change due o an in e en ion ha inc eases e-
newal a es by dA/dT— he willingness o pay o he in e en ion. We also
conside he cos s aced by he go e nmen due o he in e en ion composed
o a di ec cos : he cos o sending eminde s (D), and he indi ec iscal cos s
o p ocessing an ID enewal (g) and o p o iding bene i s o each indi idual
who enews he o his ID (πB). We hen compu e he ma ginal alue o public
unds (MVPF) associa ed wi h he in e en ion— he wel a e inc ease in $PBA
achie ed by an addi ional $PBA spen by he go e nmen .29
WTPj=−jπjBsjdA
dT (4)
MV PF =W TPL+WT PM+W TPH
((πLsL+πMsM+πHsh)B+(sL+sM+sH)g)dA/dT+D(5)
In his case, we dis inguish be ween h ee ypes o indi iduals (low, medium
and high-income) o cap u e di e ences in access o social bene i s (π), and
wages (W) ha may a y by income ype. He e sjdeno es he sha e o ea ed
complie s in each g oup.
Ou app oach makes h ee simpli ying assump ions. Fi s , i does no
opposed o modeling he choice o applying o SNAP, we model he choice o ob aining a
alid ID.
29See Online Appendix D o a de i a ion o he exp essions
33

conside labo supply esponses due o social bene i s. This is consis en wi h
e idence om de eloping coun ies showing ha cash ans e s do no dec ease
labo supply (Bane jee e al., 2017). Second, i igno es posi i e ex e nali ies
ela ed o ID owne ship o go e nmen s and indi iduals (e.g., highe ax e -
enue o ecep ion o u he bene i s). Thus, ou calcula ions a e likely o yield
lowe bounds o he MVPF. Thi d, we assume ha all he e ec s o he in-
e en ion a e d i en by he eminde s and no by educ ions in ansac ion
cos s, which is consis en wi h he e idence discussed in Sec ion IV.A.
Table A8 epo s he calib a ed pa ame e s. As Vale Digi al p o ides a la
bene i ega dless o income, we calib a e Bas he alue o he mon hly ans e
pe pe son ($PBA 100).30 We also compu e he ime and money spen du ing
he enewal p ocess (i.e., anspo a ion, pho ocopies, e c.) as a e ages among
indi iduals who enewed hei ID in he con ol g oup, espec i ely.31 We se
dA/dT=0.105; he a e age ea men e ec o he in e en ion on enewals
(see column 1 in Table 2). Panel B epo s calib a ed pa ame e s by income
g oup j∈ {L, M, H}. Fo each g oup, we calib a ed πby compu ing he sha e
o indi iduals in he con ol g oup who ecei ed Vale Digi al. We compu e sj
as he sha e o ea ed indi iduals ha did enew hei IDs (complie s). Wj
ep esen s he a e age hou ly income pe adul in each income ca ego y, which
we calcula e using da a om he ollow-up su ey.32 We calib a e jsuch ha ,
30No e ha al hough Vale Digi al was implemen ed a e he in e en ion, he mon hly
amoun is oughly he midpoin o he mon hly paymen s o he wo main social p o ec ion
p og ams in Panama: a noncon ibu o y pension o $PBA 120 pe mon h paid o indi iduals
olde han 60, and Red de Opo unidades, a condi ional cash ans e p og am deli e ing
mon hly paymen s o $PBA 50 and a ge ed a households wi h child en.
31We no malize hese pa ame e s o $PBA pe mon h.
32A e age mon hly household income di ided by he numbe o adul s in he household
and ans o med o hou s. We compu e he a e age household income in each ca ego y as
34
gi en he cos s o enewing an ID, indi iduals a e indi e en be ween enewing
i o no (see Sec ion D in he Online Appendix o de ails).
The a e age willingness o pay o he in e en ion is $PBA 3.2 (see Panel
C o Table A8 in he Online Appendix). This is la ge han he di ec cos o
sending he eminde s ($PBA 0.04 pe mon h).33 O cou se, he in e en ion
also inc eased he numbe o people enewing hei ID and he numbe o
people ecei ing social bene i s, which in u n indi ec ly inc eased go e nmen
spending. A e we inco po a e hese indi ec cos s, he MVPF associa ed
wi h he in e en ion is $PBA 0.92. No e ha , as discussed abo e, his migh
be a lowe bound as i igno es o he bene i s ela ed o owning a alid ID.
In e es ingly, lowe and middle-income indi iduals exhibi highe MVPFs
($PBA 0.92 and 0.93, espec i ely) han high-income indi iduals ($PBA 0.82).
This is d i en by he ac ha , ela i e o high-income indi iduals, lowe -
income indi iduals unde es ima e he bene i s o owning a alid ID by mo e
(i.e., L< H). This is consis en wi h sugges i e e idence ha he in e en-
ion yielded la ge e ec s on enewals o low-income indi iduals (see Table
3). One implica ion is ha i would ha e been mo e cos -e ec i e o a ge
he eminde s o lowe -income indi iduals.
The esul s in Sec ion IV.A showed no e ec s o p o iding access o an
online pla o m o enew IDs mainly due o p oblems wi h he use expe ience
wi h he pla o m. We epo a coun e ac ual analysis o quan i y he wel a e
gains om sol ing hese issues.
We begin by compu ing he e ec o he in e en ion on he p obabili y o
he mid-poin be ween he lowe and uppe limi s o each income ca ego y
33The cos pe eminde was $PBA 0.1 and, on a e age, 5 eminde s we e sen o each
indi idual. Di iding he o al spending by indi idual by 12 mon hs yields he mon hly
equi alen o he cos pe indi idual.
35
ei he s a ing he applica ion online o enewing he ID, which equals o 0.17
(p- alue <0.01). This e ec is equal o he e ec on enewals had all he indi-
iduals who s a ed he online p ocess comple ed he p ocess (dA/dTC=0.17)—
a coun e ac ual ea men TC. In addi ion, we compu e he change in he ime
spen in he enewal p ocess had he online pla o m been e ec i e (d(−τ)).
The online pla o m was designed o enable indi iduals o comple e he p o-
cess in 30 minu es; a 66% decline wi h espec o he a e age in-pe son enewal
ime o 90 minu es. Thus, we se d(−τ) = 1 hou o -0.083 in mon hly e ms.
Appendix Sec ion D shows ha he MVPF associa ed wi h he coun e ac ual
in e en ion can be w i en as:
MV PFC=−BdA
dT CPj∈{L,M,H}jπjsj+d(−τ)Pj∈{L,M,H}Wj(Aj+sjdA
dT C)
((πLsL+πMsM+πHsh)B+(sL+sM+sH)g)dAC
dT +D(6)
In his case, he wel a e gains a ise om educing mispe cep ions h ough
eminde s ( i s e m in he nume a o ) and educing he ansac ion cos s o
ob aining a new ID (second e m in he nume a o ). Panel C o Table A8 shows
ha he wel a e gains o he coun e ac ual in e en ion ($PBA 5.56) a e abo e
and beyond he di ec cos o he in e en ion and yield la ge p i a e wel a e
gains han he ac ual in e en ion ($PBA 3.2). Thus, he e is a pe -pe son
wel a e loss o indi iduals o $PBA 2.3 ha can be a ibu ed o he usabili y
issues ha p e en ed a success ul use o he online pla o m. In e es ingly,
hese wel a e changes a e d i en by high-income indi iduals who alue mo e
he educ ion in he ime needed o he enewal p ojec (WH> WM> WL).
In addi ion, he gains achie ed by he coun e ac ual in e en ion almos ully
o se he di ec and indi ec e ec s o he in e en ion on go e nmen spending
(MV PFC= 0.99).34
34No e ha his is a a he conse a i e es ima e since he online enewal can also e-
36
The esul s unde sco e he impo ance o use - iendly digi al pla o ms o
ansac wi h he go e nmen . Digi iza ion o go e nmen ansac ions b ings
he p omise o inc easing ci izens’ wel a e by educing ansac ion cos s. This
p omise can only be ul illed i he inno a ions a e b oadly accessible. They also
emphasize ha he cos s o ob aining alid IDs migh be he e ogeneous, and
hus uni e sal access o alid iden i ica ion equi es di e en policy ools. Re-
minde s may be pa icula ly bene icial o lowe -income households ha end
o be mo e p one o beha io al biases (Schilbach e al., 2016), and digi iza ion
may be ela i ely mo e bene icial o weal hie indi iduals acing ela i ely
highe ansac ion cos s.
VII Conclusion and Policy Implica ions
In a se ing o high ansac ion cos s and low compliance a es, we s udy he
ex en o which ex message eminde s, and a link o an online p ocedu e,
inc ease he enewal a e o na ional ID ca ds in Panama. ID enewal is no
only impo an in insically, as ca ying an up- o-da e ID is equi ed by law,
bu also o i s unc ional u ili y in accessing public and p i a e se ices. The
u ili y o he na ional ID inc eased ma kedly du ing he COVID-19 pandemic,
as i became he p ima y ehicle o dis ibu ing subsidies o ood and o he
basic goods.
O e all, we ind ha eminde s a e e ec i e in p omo ing ID enewal, con-
sis en wi h p io esea ch on eminde s, which is abundan in he beha io al
economics li e a u e. Fu he mo e, up ake in ID enewal is posi i ely associ-
a ed wi h up ake o social p og ams, pa icula ly ele an du ing he pandemic.
duce he go e nmen cos s o enewing an ID g, which a e none heless le cons an in his
calcula ion.
37
Table 1: Summa y s a is ics
Admin da a Admin da a Phone su ey sample HH su ey
All ID exp. da e 1-3/2020
(1) (2) (3) (4)
Age 43.382 42.131 41.147 46.739
Male 0.446 0.389 0.402 0.476
Cohabi s wi h pa ne 0.647 0.590
Ma ied 0.380 0.362 0.379
# household membe s 3.883 4.165
Has child en 0.795 0.771 0.670 0.583
# o child en 1.874 1.829 1.285 1.288
Has child en unde 6y 0.285 0.312
# o child en unde 6y 0.357 0.465
No educa ion o pa ial p ima y 0.005 0.071
P ima y o pa ial seconda y 0.137 0.201
Seconda y educa ion 0.221 0.288
Some e cia y educa ion 0.140 0.292
In e ne access 0.589 0.384
Obse a ions 11956 3459 1128 19300
No e: The able epo s means o demog aphic cha ac e is ics o di e en g oups. Column 1 epo s
means using all he ini ial s udy popula ion using adminis a i e eco ds. column 2 epo s means o all
s udy pa icipan s whose IDs we e se o expi e be ween Janua y 20 and Ma ch 20, 2020. Column 3 epo s
means o he subsample o s udy pa icipan s who esponded o he phone su ey. Column 4 epo s means
using da a om he 2018 o Panama’s Mul iple Pu pose Household su ey using su ey weigh s. The sample
in column 4 is es ic ed o indi iduals o age 28 o 70, as only indi iduals in ha age ange a e eligible o
ID enewals. Column 4 also uses sampling weigh s.
44

0 .1 .2 .3 .4 .5 .6 .7 .8
Cummula i e sha e o enewed ids
-4 -3 -2 -1 0 1 2 3 4<-4 >4
Weeks o expi a ion da e
Con ol Message
Online
Figu e 2: Renewals be o e and a e he Expi a ion Da e
No e: The igu e epo s he cumula i e sha e o s udy indi iduals who enewed hei IDs as a unc ion
o ime ela i e o he expi a ion da e, measu ed in weeks such ha he expi a ion da e co esponds o he
i s day o week 0. The igu e is compu ed using he subsample o indi iduals whose IDs expi ed be ween
Janua y 20 and Ma ch 20, 2020.
45
Table 2: E ec s on Renewals (Admin Da a)
(1) (2) (3) (4) (5) (6) (7) (8)
Renewal On ime S a ed online Comple ed online
T ea men 0.105*** 0.120*** 0.125*** 0.030***
(0.019) (0.019) (0.008) (0.004)
Reminde 0.123*** 0.133*** 0.001 0.002
(0.021) (0.022) (0.004) (0.002)
Online 0.087*** 0.107*** 0.257*** 0.060***
(0.021) (0.022) (0.014) (0.008)
Obse a ions 3,156 3,156 3,156 3,156 3,156 3,156 3,156 3,156
R-squa ed 0.241 0.242 0.149 0.149 0.155 0.283 0.103 0.129
Con ol G oup Mean 0.593 0.593 0.252 0.252 0 0 0 0
P- alue (Reminde -Online) 0.0660 0.251 0 0
∗∗∗p < 0.01,∗ ∗ p < 0.05,∗p < 0.1
No e: The able epo s es ima es o he ea men e ec s o he in e en ion based on equa ions (1) and
(2). The es ima ed sample includes all indi iduals whose IDs we e se o expi ed be o e he in e en ion
was discon inued. All eg essions con ol o s a a ixed e ec s as well as a ec o o baseline demog aphic
cha ac e is ics. P- alues co esponding o a es o equali y o coe icien s be ween he Message and Online
ea men g oups a e epo ed in he bo om pa o he able. Robus s anda d e o s a e epo ed in
pa en heses.
46
Table 3: He e ogeneous E ec s on Online Renewals by Age, Educa ion, Income
and Access o In e ne Connec ion (Su ey Da a)
(1) (2) (3) (4) (5) (6)
Renewal S a ed online Comple ed online
T ea men 0.067 0.159*** 0.043**
(0.073) (0.041) (0.017)
T ea men ×Age >median -0.087 -0.087** -0.035*
(0.064) (0.035) (0.018)
T ea men ×Uni e si y+ 0.006 0.044 0.035*
(0.069) (0.041) (0.019)
T ea men ×Low income 0.131* -0.050 -0.017
(0.069) (0.037) (0.016)
T ea men ×In e ne access 0.085 0.044 -0.011
(0.071) (0.039) (0.017)
Reminde 0.105 0.013 0.005
(0.087) (0.027) (0.014)
Online 0.021 0.323*** 0.082***
(0.080) (0.061) (0.028)
Reminde ×Age >median -0.092 -0.024 -0.010
(0.073) (0.023) (0.013)
Online ×Age >median -0.071 -0.211*** -0.073**
(0.074) (0.053) (0.030)
Reminde ×Uni e si y+ -0.045 -0.016 0.000
(0.081) (0.026) (0.014)
Online ×Uni e si y+ 0.058 0.100* 0.070**
(0.081) (0.060) (0.034)
Reminde ×Low income 0.125 0.017 0.010
(0.080) (0.025) (0.012)
Online ×Low income 0.131* -0.089 -0.039
(0.079) (0.057) (0.029)
Reminde ×In e ne access 0.120 0.009 -0.003
(0.086) (0.027) (0.016)
Online ×In e ne access 0.050 0.116** -0.009
(0.079) (0.057) (0.029)
Obse a ions 942 942 942 942 942 942
R-squa ed 0.479 0.482 0.243 0.432 0.181 0.227
Con ol G oup Mean 0.460 0.460 0 0 0 0
∗∗∗p < 0.01,∗ ∗ p < 0.05,∗p < 0.1
No e: The able epo s es ima es o he ea men e ec s o he in e en ion on online enewals as a
unc ion o demog aphic cha ac e is ics based on equa ion (3) using he sample o indi iduals in he ollow-up
su ey. Each column epo s esul s om a di e en eg ession o he ou come on in e es on ea men s a us
and in e ac ions o ea men s a us wi h a ec o o co a ia es ha cap u e dimensions o he e ogenei y o
in e es . Columns 1, 3 and 5 epo esul s based on a speci ica ion ha pools bo h ea men a ms. Columns
2, 4 and 6 epo esul s by ea men a m. All eg essions a e es ima ed using he subsample o su ey
esponden s and con ol o s a a ixed e ec s as well as a ec o o baseline demog aphic cha ac e is ics.
Robus s anda d e o s a e epo ed in pa en heses.
47
Table 4: E ec s on T ansac ion Cos s, Ci izen Pe cep ions and Usage o Digi al
Pla o ms (Su ey Da a)
(1) (2) (3) (4) (5) (6)
VARIABLES T ansac ion cos s Ci izen pe cep ions Digi al pla o ms
T ea men -0.041 0.007 -0.042
(0.055) (0.050) (0.060)
Reminde -0.016 -0.015 -0.031
(0.060) (0.055) (0.068)
Online -0.061 0.035 -0.045
(0.065) (0.057) (0.069)
Obse a ions 942 942 942 942 942 942
R-squa ed 0.253 0.253 0.239 0.240 0.347 0.347
Con ol G oup Mean 0.00 0.00 0.00 0.00 0.00 0.00
P- alue (Reminde -Online) 0.461 0.340 0.842
∗∗∗p < 0.01,∗ ∗ p < 0.05,∗p < 0.1
No e: The able epo s es ima es o he ea men e ec s o he in e en ion based on equa ions (1) and (2).
The dependen a iables a e index a iables compu ed ollowing he app oach sugges ed by Ande son (2008).
All eg essions con ol o s a a ixed e ec s as well as a ec o o baseline demog aphic cha ac e is ics. P-
alues co esponding o a es o equali y o coe icien s be ween he wo ea men a ms a e epo ed in he
bo om pa o he able. Robus s anda d e o s a e epo ed in pa en heses.
48
Table 5: E ec s on Recep ion and Usage o Digi al Vouche s (Admin Da a)
(1) (2) (3) (4) (5) (6)
VARIABLES Vale Digi al (4-8/2020) Disbu sed $Spen $
T ea men 0.036** 11.339* 9.977*
(0.018) (5.827) (5.701)
Reminde 0.043** 12.950** 11.027*
(0.021) (6.591) (6.453)
Online 0.029 9.632 8.864
(0.021) (6.762) (6.612)
Obse a ions 3,156 3,156 3,156 3,156 3,156 3,156
R-squa ed 0.257 0.258 0.253 0.253 0.255 0.255
Con ol G oup Mean 0.329 0.329 93.93 93.93 87.97 87.97
P- alue (di coe s) 0.510 0.610 0.734
∗∗∗p < 0.01,∗ ∗ p < 0.05,∗p < 0.1
No e: The able epo s es ima es o he ea men e ec s o he in e en ion co esponding o equa ions
(1) and (2). All eg essions con ol o s a a ixed e ec s as well as a ec o o baseline demog aphic
cha ac e is ics. P- alues co esponding o a es o equali y o coe icien s be ween he wo ea men a ms
a e epo ed in he bo om pa o he able. Robus s anda d e o s a e epo ed in pa en heses.
49

(a) Recep ion o Vale Digi al (4/2020-8/2020)
(b) Amoun disbu sed and spen
Figu e 3: T ea men E ec s by Quin iles o Pe Capi a Income
No e: The igu e depic s ea men e ec s o he in e en ion on he p obabili y o ecei ing a leas one
paymen o Vale Digi al be ween Ap il and Augus 2020, on he o al amoun o ans e s disbu sed o he
digi al ouche and on o al ouche spending. 90% con idence in e als a e compu ed using obus s anda d
e o s.
50
Table 6: E ec s on Access o Digi al Vouche s: Mechanisms (Su ey Da a)
(1) (2) (3) (4)
Vale
Digi al
(4/2020-
8/2020)
Reci ed
eme -
gency
help
Expe ienced
p oblems
o cash
ou bene-
i s
Index -
Digi al
ools
Panel A: A e age e ec s (su ey esponden s)
T ea men 0.068* 0.002 -0.000 0.076
(0.035) (0.037) (0.021) (0.057)
Obse a ions 942 942 942 942
R-squa ed 0.328 0.262 0.180 0.238
Panel B: By locali y income ca ego y (su ey esponden s)
T ea men 0.213*** 0.133 -0.133* 0.455***
(0.078) (0.102) (0.069) (0.157)
T ea men X Q2 -0.229** -0.066 0.123 -0.469**
(0.114) (0.126) (0.087) (0.202)
T ea men X Q3 -0.117 -0.195 0.145* -0.472**
(0.113) (0.128) (0.081) (0.208)
T ea men X Q4 -0.118 -0.065 0.150* -0.329*
(0.106) (0.131) (0.082) (0.197)
T ea men X Q5 -0.187* -0.235* 0.163** -0.434**
(0.107) (0.129) (0.077) (0.193)
Obse a ions 942 942 942 942
R-squa ed 0.331 0.266 0.186 0.254
Con ol G oup Mean 0.312 0.649 0.0720 0.00
∗∗∗p < 0.01,∗ ∗ p < 0.05,∗p < 0.1
No e: The able epo s es ima es o he a e age ea men e ec s o he in e en ion and he e ogeneous
e ec s by income quin iles using he sample o su ey esponden s. Columns 1 epo ea men e ec s on he
p obabili y o ha ing ecei ed a leas one paymen o Vale Digi al du ing Ap il o Augus 2020. Columns 2
epo s e ec s on sel - epo ed in o ma ion o ecep ion o any eme gency aid om he go e nmen (including
Vale Digi al as well as o he p e-exis ing p og ams). Column 3 epo s e ec s on he p obabili y o epo ing
ha ing had p oblems o cash ou o use go e nmen bene i s, Column 4 epo s e ec s on an index o usage
o digi al pla o ms ela ed o Vale Digi al. All eg essions con ol o s a a ixed e ec s as well as a ec o
o baseline demog aphic cha ac e is ics. Robus s anda d e o s a e epo ed in pa en heses.
51
Online Appendix
A Appendix: Suppo ing E idence
52
(a) Recep ion o Vale Digi al (4/2020-8/2020)
(b) Amoun disbu sed and spen
Figu e A1: Robus ness: E ec s by income using sel - epo ed income ca e-
go ies (su ey da a)
No e: The igu e depic s ea men e ec s o he in e en ion on he p obabili y o ecei ing a leas one
paymen o Vale Digi al be ween Ap il and Augus 2020, on he o al amoun o ans e s disbu sed o he
digi al ouche and on o al ouche spending. The e ec s a e calcula ed based on he subsample o su ey
esponden s. 90% con idence in e als a e compu ed using obus s anda d e o s.
53
Table A7: Robus ness: Mechanisms (Using sel - epo ed income)
(1) (2) (3) (4)
Vale
Digi al
(4/2020-
8/2020)
Recei ed
eme -
gency
help
Expe ienced
p oblems
o cash
ou bene-
i s
Index -
Digi al
ools
T ea men 0.141** 0.099 -0.070 0.233**
(0.062) (0.066) (0.043) (0.111)
T ea men X Medium Income -0.120 -0.131 0.087 -0.209
(0.089) (0.089) (0.056) (0.145)
T ea men X Highe income -0.112 -0.155 0.113** -0.281**
(0.088) (0.097) (0.051) (0.143)
Obse a ions 942 942 942 942
R-squa ed 0.362 0.273 0.189 0.275
Con ol G oup Mean 0.312 0.649 0.0720 0.00
∗∗∗p− alue < 0.01,∗ ∗ p− alue < 0.05,∗p− alue < 0.1
No e: The able epo s es ima es o he ea men e ec s o he in e en ion by income ca ego y ob ained
by es ima ing a eg ession o access o Vale Digi al on ea men s a us and i s in e ac ion wi h an indica o
o sel - epo ed income ca ego ies. All eg essions con ol o s a a ixed e ec s as well as a ec o o baseline
demog aphic cha ac e is ics. Robus s anda d e o s a e epo ed in pa en heses.
60

Table A8: Calcula ion o ac ual and coun e ac ual MVPFs
Panel A: Common pa ame e s
Ac ual in e en ion Coun e ac ual in e en ion
Mon hly bene i s in $PBA (B) 100 100
Ope a ing cos s o enewing an ID in $PBA (g) 15 15
Pe -capi a cos s o sending SMSs in $PBA (5 SMS pe indi idual) 0.5 0.5
A e age ime needed o in-pe son enewals in minu es (τ) 90.73 30.85
O he cos s in $PBA ( anspo a ion, pho ocopies, ees) (p) 3.77 3.77
E ec o he in e en ion on enewals (dA/dT) 0.105 0.173
Panel B: Pa ame e s by income g oup (j)
Ac ual in e en ion Coun e ac ual in e en ion
Income g oups Income g oups
Low Middle High Low Middle High
P obabili y o ecei ing bene i s (πj) 0.32 0.36 0.24 0.32 0.36 0.24
Sha e o complie s (sj) 0.38 0.37 0.25 0.37 0.37 0.27
Mispe cep ion o bene i s (j) -0.99 -0.99 -0.92 -0.99 -0.98 -0.91
Hou ly wage in $PBA(Wj) 0.72 1.40 13.44 0.72 1.40 13.44
Renewals (p opo ion) (Aj) 0.28 0.44 0.28 0.28 0.44 0.28
Panel C: P i a e Wel a e gains and MVPFs
To al p i a e wel a e change (WTP) 3.20 5.56
MPVF all (MV PF) 0.92 0.99
MPVF by income g oup (MV P Fj) 0.92 0.93 0.82 0.95 0.98 1.03
No e: Panels A and B epo calib a ed pa ame e s. See Sec ion D o de ails. Time cos s (τ) and ees (p) o enew an ID as well as p ocessing cos s
(g) and SMS cos s (D) a e no malized o mon hly equi alen s o he calcula ions o MVPFs. The e ec o he coun e ac ual in e en ion on enewals is
compu ed by eg essing an indica o o whe he an indi idual enews he ID o s a s he enewal p ocess online on a dummy cap u ing ac ual ea men
s a us, demog aphic con ols and s a a ixed e ec s. Income g oups a e de ined based on he income ca ego ies in ou su ey da a. Low income g oup:
indi iduals wi h household income be ween $PBA 0 o 500. Middle income g oup: indi iduals wi h household income be ween $PBA 500-1400. High income
g oup: indi iduals wi h amily income highe han $PBA 1400.
61
B Appendix: Tex messages
Remide ea men :
•Reminde s sen weekly be o e he expi a ion da e: “[T ibunal Elec o al]
[-NOMBRE-], u c´edula ence el DD de MES. Renu´e ala g a is. In o:
h ps://sede. ibunal-elec o al.gob.pa/in o”
•Reminde s sen weekly a e he expi a ion da e: “[T ibunal Elec o al]
[-NOMBRE-], u c´edula enci´o el DD de MES. Renu´e ala g a is. In o:
h ps://sede. ibunal-elec o al.gob.pa/in o”
Online ea men :
•Reminde s sen weekly be o e he expi a ion da e: “[T ibunal Elec o al]
[-NOMBRE-], u c´edula ence el DD de MES. Aho a una isi a al TE,
enu´e ala g a is en l´ınea: h ps://sede. ibunal-elec o al.gob.pa/ enue a/CODINVIT”
•Reminde s sen weekly a e he expi a ion da e.“[T ibunal Elec o al] [-
NOMBRE-], u c´edula enci´o el DD de MES. Aho a una isi a al TE,
enu´e ala g a is en l´ınea: h ps://sede. ibunal-elec o al.gob.pa/ enue a/CODINVIT”
•In his case, CODINVIT is an eigh -digi pe sonalized code ha is asso-
cia ed wi h he ci izen’s ID and phone numbe .
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Figu e A2: Landing page: Reminde ea men
Figu e A3: Landing page: Online ea men
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C Appendix: Online Renewal Applica ion
In his sec ion we desc ibe he s eps needed o enew an ID online.
S ep 1:Ve i ica ion. The use s we e asked o e i y hei iden i y by
p o iding hei ID numbe , ID se ial numbe and bi h da e.
Figu e A4: S ep 1: Ve i ica ion.
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S ep 2: Regis a ion. A e e i ying hei iden i y, ci izens we e p omp ed
o c ea e an accoun using an email and passwo d o hei choice. This enabled
use s o sa e a d a o he ansac ion and comple e i la e .
Figu e A5: S ep 2: Regis a ion.
65

S ep 3: Gene al In o ma ion. A lis o all he s eps and equi e docu-
men a ion was displayed in he sc een o ou line he enewal p ocess.
Figu e A6: S ep 3: Gene al In o ma ion.
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S ep 4: Ve i ica ion o pe sonal da a. The ci izen was asked o con-
i m hei pe sonal da a. I hey wan ed o modi y any hing, hey would be
in o med hey had o do so in pe son a he egis a s’ o ice, and he p ocess
would s op a his poin .
Figu e A7: S ep 4: Ve i ica ion o pe sonal da a.
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S ep 5: Ve i ica ion o con ac in o ma ion. He e he use s will
be asked o en e he same phone numbe h ough which hey ecei ed he
no i ica ion om T ibunal Elec o al.
Figu e A8: S ep 5: Ve i ica ion o con ac in o ma ion.
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S ep 6: Addi ional in o ma ion. Ci izens could upda e hei o gan
dono s a us, disabili y s a us and whe he hey wan ed hei husband’s las
name o be on hei ID ca d (in he case o ma ied women).
Figu e A9: S ep 6: Addi ional in o ma ion.
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G=X
j=L,M,H
((πjB) + g)Aj
D.1.1 E ec s o he ac ual in e en ion
Le dA/dT deno e he change in he sha e o indi iduals who ob ained a new ID
due o he ea men . Consis en wi h he esul s discussed in Sec ion IV.A, we
assume ha he e ec o he in e en ion comes only om he eminde s—i.e.,
he in e en ion a ied he le el o mispe cep ions (). Thus, dA/dT =dA/d.
Using he Leibniz ule one can show ha :
dVj
dj
= [u(y0+πjB)−u(y0+πjB(1 + j)]dA
dj
He e we exploi he ac ha dA/dj= (dFj(c∗)/dc∗)dc∗/dj= (c∗)jdc∗/dj.
Using a i s -o de Taylo se ies app oxima ion o he pe cei ed u ili y o e-
newing an ID a ound he ac ual u ili y o doing so we ge :
u(y0+πjB(1 + j)−u(y0+πjB) = u0(y0+πjB)jπjB)
and
dVj
dj
=−u0(y0+πjB)jπjBdA
dj
We hen di ide he change in wel a e due o he in e en ion by u0() o
ob ain a money-me ic measu e o he a e age change in wel a e due o he
in e en ion; he willingness o pay o he in e en ion:
WTPj=−jπjBsj
dA
dT (A2)
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He e, we assume ha he ea men e ec s o he in e en ion was cons an
ac oss each ype o complie s. Thus, he change in he enewal a e among
indi iduals o ype jequals he sha e o complie s o ype j(sj)mul iplied by
he a e age ea men e ec o he in e en ion dA/dT. Adding (A2) ac oss
ypes we ge ha he a e age change in o al wel a e due o he in e en ion is
equal o he nume a o o equa ion (5). The denomina o o exp ession (5) is
ob ained by conside ing he ma ginal cos o he go e nmen associa ed o he
change in indi iduals enewing hei IDs due o he in e en ion (dG/dT =
Pj=L,M,H (πjB+g)sjdA/dT) plus he pe -pe son cos o implemen ing he
in e en ion D. Thus, equa ion (5) cap u e he a e age willingness o pay o
he in e en ion among indi iduals o ype jand equa ion (5) cap u es he
ma ginal change in social wel a e pe dolla spen by he go e nmen due o
he in e en ion: he ma ginal alue o public unds.
D.1.2 E ec s o he coun e ac ual in e en ion
The coun e ac ual in e en ion a ies mispe cep ions () h ough eminde s
and educes he ime needed o enew an ID (τ). We compu e he change in
wel a e due o in e en ion dVj/dTC o an indi idual o income g oup jby
aking he o al de i a i e o Vjwi h espec o jand −τ. Fo his we use he
Leibniz ule and he same i s -o de Taylo app oxima ions desc ibed abo e.
dVj
dTC=∂Vj
∂ d +∂Vj
∂(−τ)d(−τ)
=−jπjB∂Aj
∂j
dj−jπjB∂Aj
∂−τd(−τ) + WjAjd(−τ)
=−jπjB(∂Aj
∂j
dj+∂Aj
∂−τd(−τ)) + WjAjd(−τ)
=−jπjB(dAj
dTC) + WjAjd(−τ)
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The las e m o he exp ession comes om he ac ha he o al change in
enewals due o he coun e ac ual in e en ion is dAj/dTC= (∂Aj/∂j)dj+
(∂Aj/∂(−τ))d(−τ). Fo simplici y, we assume ha he ea men e ec o
he coun e ac ual in e en ion is cons an ac oss income g oups such ha
dAj/dTC=sjdA/dTC. Finally, he change in wel a e o income g oup jis:
dVj
dTC=−jπjBsj(dA
dTC) + WjAjd(−τ) (A3)
Adding he exp ession in equa ion (A3) ac oss income g oups, we ob ain
he nume a o o equa ion (6).
D.2 Calib a ion
•Income g oups (j) a e de ined based on he income ca ego ies in ou
su ey da a. Low income g oup: indi iduals wi h household income be-
ween $PBA 0 o 500. Middle income g oup: indi iduals wi h household
income be ween $PBA 500-1400. High income g oup: indi iduals wi h
amily income highe han $PBA 1400.
•The mon hly go e nmen bene i s (B) a e equal o $PBA 100; he alue
o he mon hly digi al ouche s. This is smalle han he pe -pe son
mon hly ans e s ecei ed by bene icia ies o 120 a los 65 (Panam´a’s
noncon ibu o y pension p og am) and is abo e he mon hly household
ans e associa ed o Red de Opo unidades (Panam´a’s condi ional cash
ans e p og ams a ge ed a amilies wi h young child en). Bo h ans-
e s ep esen $PBA 120 and 50 pe mon h, espec i ely.
•The cos o p ocessing a new enewal gis calib a ed using he eplace-
men penal y o $PBA 15 ha indi iduals ha e o pay o ob ain a dupli-
ca e o a los o damaged ID. No e ha he ID enewal due o expi a ion
78
is ee o cos in Panam´a. Fo ou calcula ions, we assume ha people
enew hei ID only once a yea and di ide gby 12 so ha i is exp essed
in mon hly e ms. This is an o e s a emen o he p ocessing cos s as
enewals a e only due e e y 10 yea s. No e ha we keep his pa ame e
cons an du ing he analysis o he wel a e impac s o he coun e ac ual
policy e en hough he coun e ac ual policy could ha e also educed he
p ocessing cos s aced by he go e nmen .
•The pe -pe son cos o he in e en ion (D) equals $PBA 0.5. On a e -
age, we sen 5 SMSs o ea ed indi iduals. The cos o each SMS was
10 cen s.
•The a e age ime needed o in-pe son enewals in minu es (τ) is cali-
b a ed using he o al ime spen in he enewal p ocess plus he ime
spen commu ing o T ibunal Elec o al o ices. Fo his we ook he a -
e age o su ey esponden s in he con ol g oup who decided o enew
hei ID.
•We compu e he a e age obse able ansac ion cos s pby adding up he
amoun spen on anspo a ion o TE o ices plus he cos o pho ocopies
o he documen a ion needed o enew an ID (when applicable) and hen
a e aging ac oss su ey esponden s in he con ol g oup who enewed
hei ID.
•The p obabili y o ecei ing go e nmen bene i s (πj) is compu ed as he
sha e o con ol-g oup indi iduals who ecei ed a leas one paymen o
ale digi al, by income g oup.
•The hou ly wage (Wj) is compu ed in h ee s eps. Fi s , we ook he
midpoin o he o al household income ca ego y limi s based on da a
79
om he ollow up su eys. This p o ided an app oxima ion o he
mon hly household income wi hin each ca ego y.We hen di ided he
mon hly household income by he numbe o adul s li ing in indi idual
i’s household. Finally, we di ided he pe -adul mon hly income by 160—
he numbe o mon hly wo king hou s assuming 8 wo king hou s pe day
and 5 wo king days.
•The sha e o complie s sjis compu ed as he sha e o ea ed indi id-
uals in each income g oup jwho enewed hei ID. In he case o he
coun e ac ual in e en ion TC, he sha e o complie s is compu ed as
he sha e o indi iduals in each income g oup jwho ei he enewed hei
ID o s a ed he enewal p ocess online.
•We compu ed he mispe cep ions o bene i s om enewing IDs as he
alue o j o which an indi idual in g oup jwould ha e been indi e -
en be ween enewing he ID. We did so by using a i s -o de Taylo
app oxima ion a ound he u ili y o no enewing an ID.
80