The IMF says price-suppressing measures may cost three to 22 times as much as targeted transfers to provide comparable protection for households during cost-of-living shocks.
IMF staff said temporary transfers can shield vulnerable households, limit fiscal pressure and preserve price signals.
Separately, the IMF studied effects across income groups in 18 European countries from 2021 through 2023. The fund's catalog lists responses to cost-of-living shocks in 76 countries from 1996 through 2025.
The breakdown: 26 advanced economies, 36 emerging markets and 14 low-income developing countries.
