Basic Impact Assessment At Project Level Page 11
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36Box 1:
Units of Assessment and Their Advantages and Disadvantages
Unit
Advantages
Disadvantages
• Easily defined and
• Most interventions have
Individual
identified
impacts beyond the
individual
• Difficulties of
disaggregating group
impacts and impacts on
‘relations’
Enterprise
• Availability of analytical
• Definition and
tools (profitability, return
identification is difficult
on investment etc)
in microenterprises
• Much microfinance is
used for other
enterprises and/or
consumption
• Links between
enterprise performance
and livelihoods need
careful validation
• Relatively easily defined
• Sometimes exact
Household
and identified
membership difficult to
• Permits an appreciation of
gauge
• The assumption that
livelihood impacts
• Permits an appreciation of
what is good for a
household in aggregate
interlinkages of different
is good for all of its
enterprises and
members individually is
consumption
often invalid
• Permits major
• Quantitative data is
Community
externalities of
difficult to gather
• Definition of its
interventions to be
captured
boundary is arbitrary
• Availability of data
• How valid are inferences
Institutional Impacts
• Availability of analytical
about the outcomes
produced by institutional
tools (profitability, SDIs,
activity?
transaction costs)
Household Economic
• Comprehensive coverage
• Complexity
Portfolio (i.e.
• High costs
of impacts
household, enterprise,
• Appreciation of linkages
• Demands sophisticated
individual and
between different units
analytical skills
community)
• Time consuming
11
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