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DO I NEED THIS TOOLKIT?
WHAT DO I NEED TO KNOW?
ØCore definitions
ØThe situation
ØRationale
ØSocial risk management and OVC
WHAT DO I NEED TO DO?
WHAT'S SPECIAL ABOUT MY SECTOR?
 


  Rationale for OVC Projects

 

The Cost of Inaction Argument

The table below summarizes some main implications of not investing in OVC today, based on economic and social considerations. The negative effects of neglecting OVC needs today can potentially generate high costs in the future, at an individual level, for families and to society at large.

 
INDIVIDUAL LEVEL
FAMILY LEVEL
AGGREGATE LEVEL
HUMAN CAPITAL  
Health Poor physical and mental health, malnutrition and increased risk of premature death Increased dependency ratio. Treatment costs. Public health risk from high OVC morbidity, related to malnutrition, poor hygiene, drug addiction, and irresponsible sexual behavior.
Education Lack of formal education and marketable skills. Reduced future total family income.

Possible efficiency losses in education sector because of higher OVC repetinion and drop-out rates.
Reduced future economic productivity and activity, de-creased basis for public re-venue.
SOCIAL CAPITAL
Safety Increased likelihood of criminal and asocial behavior, including substance abuse. Emotional strain because of shame and stigma. Cost of restitution, legal fees. Insecurity/social unrest due to crime, reduced investment and growth opportunities, increased crime protection costs.
Solidarity Underdevelopment of child's own social capital - a catalyst for further deprivation. Weakening of family networks. Decreased interpersonal trust, weakening of solidarity networks, net societal social capital loss.
ECONOMIC CAPITAL 
Earnings and
Productivity 		Limited potential for future earnings. OVC remain net consumer in household and community when adult. OVC remain a burden for the national economy.

 


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