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Effects on School Enrollment and Performance of a Conditional Transfers Program in Mexico

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  • Dubois, Pierre
  • de Janvry, Alain
  • Sadoulet, Elisabeth

Abstract

We study the effects of a conditional transfers program on school enrollment and performance in Mexico. We provide a theoretical framework for analyzing the dynamic educational decision and process including the endogeneity and uncertainty of performance (passing grades) and the effect of a conditional cash transfer program for children enrolled at school. Careful identification of the program impact on this model is studied. This framework is used to study the Mexican social program Progresa in which a randomized experiment has been implemented and allows us to identify the effect of the conditional cash transfer program on enrollment and performance at school. Using the rules of the conditional program, we can explain the different incentive effects provided. We also derive the formal identifying assumptions needed to provide consistent estimates of the average treatment effects on enrollment and performance at school. We estimate empirically these effects and find that Progresa had always a positive impact on school continuation whereas for performance it had a positive impact at primary school but a negative one at secondary school, a possible consequence of disincentives due to the program termination after the third year of secondary school.

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Bibliographic Info

Paper provided by Department of Agricultural & Resource Economics, UC Berkeley in its series Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series with number qt3z1714nj.

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Date of creation: 01 Apr 2003
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Handle: RePEc:cdl:agrebk:qt3z1714nj

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Related research

Keywords: education demand; schooling decisions; school performance; dynamic decisions; treatment effects; transfer program; randomized experiment; Mexico;

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Cited by:
  1. Elena Del Rey & Fernanda Estevan, 2011. "Conditional Cash Transfers and Education Quality in the Presence of Credit Constraints," Working Papers 1108E, University of Ottawa, Department of Economics.
  2. Daniela Del Boca & Christopher Flinn & Matthew Wiswall, 2012. "Transfers to Households with Children and Child Development," Carlo Alberto Notebooks 273, Collegio Carlo Alberto.
  3. Marco Manacorda, 2008. "The Cost of Grade Retention," CEP Discussion Papers dp0878, Centre for Economic Performance, LSE.
  4. Glewwe, Paul & Kassouf, Ana Lucia, 2012. "The impact of the Bolsa Escola/Familia conditional cash transfer program on enrollment, dropout rates and grade promotion in Brazil," Journal of Development Economics, Elsevier, vol. 97(2), pages 505-517.
  5. Gitter, Seth R. & Barham, Bradford L., 2007. "Credit, Natural Disasters, Coffee, and Educational Attainment in Rural Honduras," World Development, Elsevier, vol. 35(3), pages 498-511, March.
  6. Angelucci, Manuela, 2004. "Aid and Migration: An Analysis of the Impact of Progresa on the Timing and Size of Labour Migration," IZA Discussion Papers 1187, Institute for the Study of Labor (IZA).

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