Do School Subsidies Promote Human Capital Accumulation among the Poor?
AbstractWe investigate the hypothesis that conditioning transfers to poor families on school attendance leads to a reallocation of household resources enhancing the human capital of the next generation, via the effect of the conditionality on the shadow price of human capital. We estimate the price effect of conditional transfers to mothers on intrahousehold allocations using data from a social program in Mexico, and show that price effects are large and statistically significant. The estimates suggest that household resources beyond those directly subject to conditionality have been reallocated favorably to children's human capital.
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- Cesar Martinelli & Susan W. Parker, 2003. "Do School Subsidies Promote Human Capital Accumulation among the Poor?," Working Papers 0306, Centro de Investigacion Economica, ITAM.
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