Direct Financial Giving

The advantages to this form of giving for recipients, donors and non-profits include:

• Immediate impact: Providing financial assistance directly can have an immediate and  impact on their lives, helping them to pay for basic needs like housing.

• Self-Determination: Direct financial assistance allows recipients to make their own decisions about how to use the funds, empowering them to take control of their own lives and make choices that are best for them and their families.

• Cost effectiveness: Direct financial assistance charities may be more cost-effective than charities that provide goods or services, as they do not have to incur the costs associated with sourcing and distributing physical items and more funds reach the recipients.

• Sustainability: Direct financial assistance can help recipients to become more self-sufficient in the long term, as they can use the funds to supplement investments in education or business ventures that will help them to become more financially secure.

• Public Health Impact: Direct financial giving can be considered a public health investment because it can help to address individual experiences of social determinants of health such as poverty and food insecurity, which are known to have a significant impact on health outcomes. When individuals and families can afford basic necessities such as housing and food this can lead to improved physical and mental health, as well as reduced stress and anxiety, which are all key components of overall well-being. 

Direct financial giving can bridge the gap in a number of ways, depending on the  individual's needs. Some of the ways it can bridge the gap include:

• Providing immediate financial assistance: The program can provide cash to help people meet their basic needs, such as paying for rent, or utilities.
• Helping to avoid debt: By paying bills directly to vendors or creditors, the program can help the individual or family avoid falling behind on payments and accruing debt.
• Stabilizing the household: By providing assistance with basic needs, the program can help stabilize the household and reduce stress and anxiety.
• Supporting self-sufficiency: By providing small limited temporary assistance, the program can help the individual or family get"back on their feet" and become self-sufficient in the long-term.
• Preventing loss of shelter: By providing limited cash support, the program can help decrease the chances of losing shelter which can have a cascading impact on other areas of life like education, employment and health.

Existing research in other populations shows the potential of cash transfers as a tool for improving the financial stability, health, and well-being of the population of those living with OUD. 

• "The Long-Term Effects of Cash Transfers in Low-Income Families" (2015): This study, conducted by the National Bureau of Economic Research, was published in the American Economic Review in 2015. The authors of the study are Katrine V. Løken and Magne Mogstad. The study examines the long-term effects of cash transfers on low-income families. The study uses data from a randomized experiment in Norway, where families received a lump sum payment. The study found that cash transfers had a positive impact on children's educational attainment and adult earnings and reduced the incidence of mental health problems.

• "One-Time Cash Assistance and Homelessness Prevention" (2017): This study, conducted by the Urban Institute, was published by the Urban Institute in 2017. The authors of the study are Mary K. Cunningham, Lauren M. Dunton, and Victoria Tran. The study analyzes the effectiveness of one-time cash assistance in preventing homelessness. The study uses data from a program in Los Angeles that provided one-time cash assistance to families at risk of homelessness. The study found that the cash assistance significantly reduced the incidence of homelessness.

• "Association of a One-Time Payment for a Social Determinant of Health With Health and Health Care Outcomes" (2018): This study was published in the Journal of the American Medical Association in 2018. The authors of the study are Atheendar S. Venkataramani, Matthew M. Davis, and Rourke L. O'Brien. The study examines the impact of a one-time cash transfer on health and health care outcomes. The study uses data from a program in which low-income individuals received a one-time cash transfer to address a social determinant of health, such as housing or transportation. The study found that the one-time payment was associated with improved health outcomes and increased health care utilization.

• "Poverty and Financial Distress During the COVID-19 Pandemic: Evidence from a Large Survey" (2021): This study, published in 2021 by the National Bureau of Economic Research (NBER). The authors of the study are Robert F. Schoeni, Laura Tach, and Taryn Morrissey. The study examines the impact of the COVID-19 pandemic on poverty and financial distress in the United States. The study uses data from a large survey and finds that the pandemic has significantly increased poverty and financial distress among low-income households.

• "The Effects of a One-Time Payment on Employment Outcomes for Low-Income Individuals" (2018): This study was published in the Journal of Poverty in 2018. The authors of the study are Bradley Hardy and Timothy Smeeding. The study examines the impact of a one-time cash transfer on employment outcomes for low-income individuals. The study uses data from a program that provided a one-time cash transfer to low-income individuals. The study found that the cash transfer had no significant impact on employment outcomes.

• "One-Time Cash Transfers and Poverty Reduction in the United States" (2019): This study was published in the Journal of Poverty in 2019. The author of the study is Hilary Hoynes. The study examines the impact of one-time cash transfers on poverty reduction in the United States. The study analyzes data from a program that provided one-time cash transfers to low-income families. The study found that the cash transfers reduced poverty and had long-term positive effects on children's health and educational outcomes.

• "The Distributional Impacts of the CARES Act: Evidence from Survey Data,"  (2020) and it was conducted by the National Bureau of Economic Research. The authors of the study are John Friedman, Nathaniel Hendren, and Michael Stepner. The study examines the distributional impacts of the CARES Act, including the one-time cash payment of $1,200 to low-income individuals in the United States. The study uses survey data to analyze the effects of the CARES Act on household income, spending, and economic inequality. The study found that the cash payments increased household spending, particularly on food and rent, and helped to offset the negative economic effects of the pandemic. Additionally, the study found that the cash payments reduced economic inequality, particularly among low-income households. However, the study also highlighted that the benefits of the CARES Act were not equally distributed across all groups and that further support may be necessary to address the ongoing economic challenges caused by the pandemic.