Public Education for the Children Left Behind
AbstractThis paper examines the role of public education in the context of parental migration, and it studies the effects of an expansive income tax policy that is adopted to increase public education expenditure per pupil. It is shown that such a policy may exacerbate income inequality in the long run if for the less skilled dynasties, the benefits of more public spending on education does not make up for the negative effects of increased parental absences. However, if the migration-induced tax base erosion is not severe, an expansive income tax policy indeed enhances future human capital for all dynasties, and moreover, it may help the less skilled households escape from the poverty trap, thus reducing long-run income inequality.
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Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4833.
Length: 35 pages
Date of creation: Mar 2010
Date of revision:
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Other versions of this item:
- Carmen CAMACHO & I-Ling SHEN, 2010. "Public Education for the Children Left Behind," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2010006, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
- H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
- H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
- O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-04-04 (All new papers)
- NEP-EDU-2010-04-04 (Education)
- NEP-HRM-2010-04-04 (Human Capital & Human Resource Management)
- NEP-LAB-2010-04-04 (Labour Economics)
- NEP-MIG-2010-04-04 (Economics of Human Migration)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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