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Are Randomized Poverty-Alleviation Experiments Ethical?

When this year's Nobel Memorial Prize in Economic Sciences was awarded to three pioneers in using randomized controlled trials to fight poverty in developing countries, the choice revived questions about the ethics of the method. Three questions, in particular, need to be addressed.

PRINCETON – Last month, the Nobel Memorial Prize in Economic Sciences was awarded to three pioneers in using randomized controlled trials (RCTs) to fight poverty in low-income countries: Abhijit Banerjee, Esther Duflo, and Michael Kremer. In RCTs, researchers randomly choose a group of people to receive an intervention, and a control group of people who do not, and then compare the outcomes. Medical researchers use this method to test new drugs or surgical techniques, and anti-poverty researchers use it alongside other methods to discover which policies or interventions are most effective. Thanks to the work of Banerjee, Duflo, Kremer, and others, RCTs have become a powerful tool in the fight against poverty.

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