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Family Allowances and Child School Attendance: An ex-ante Evaluation of Alternative Schemes in Uruguay

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  • Veronica Amarante
  • Rodrigo Arim
  • Gioia de Melo
  • Andrea Vigorito

Abstract

Asignaciones Familiares is a child allowances program that was incepted in Uruguay in 1942 and significantly modified in 2008. The program is focused on children aged 0 to 18 and aims at alleviating poverty and promoting school attendance particularly among teen-agers. This paper presents an ex-ante evaluation on the effects of this reform on teenager school attendance, poverty, inequality and adult labour supply. Our ex-ante estimated effects indicate that teenage school attendance rates may increase by six to eight percentage points as a result of the new program, and that this change in school attendance shows a progressive pattern. The program also significantly reduces extreme poverty, and to a lesser extent, the intensity and severity of poverty. Effects on poverty incidence and inequality are of small magnitude. Finally, the transfer may influence adult labor supply, inducing a reduction of work hours for household heads and spouses.

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Bibliographic Info

Paper provided by PEP-PMMA in its series Working Papers PMMA with number 2010-07.

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Date of creation: 2010
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Handle: RePEc:lvl:pmmacr:2010-07

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Related research

Keywords: Impact Evaluation; Conditional Cash Transfers; School Attendance; Poverty; Inequality;

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References

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  1. Creedy, J. & Duncan, A., 1999. "Welfare, Non-Linear Busget Constraints and Behavioural Microsimulation," Department of Economics - Working Papers Series 688, The University of Melbourne.
  2. Bourguignon, Francois & Ferreira, Francisco H. G. & Leite, Phillippe G., 2002. "Ex-ante evaluation of conditional cash transfer programs: the case of bolsa escola," Policy Research Working Paper Series 2916, The World Bank.
  3. Amemiya, Takeshi, 1984. "Tobit models: A survey," Journal of Econometrics, Elsevier, vol. 24(1-2), pages 3-61.
  4. Marisa Bucheli & Carlos Casacuberta, 1999. "Asistencia escolar y participación en el mercado de trabajo de los adolescentes en Uruguay," Documentos de Trabajo (working papers) 1599, Department of Economics - dECON.
  5. Chakraborty, Shankha & Das, Mausumi, 2005. "Mortality, fertility, and child labor," Economics Letters, Elsevier, vol. 86(2), pages 273-278, February.
  6. Verónica Amarante & Rodrigo Arim & Mónica Rubio & Andrea Vigorito, 2005. "Pobreza, red de protección social y situación de la infancia en Uruguay," IDB Publications 25658, Inter-American Development Bank.
  7. Mark N. Harris & Alan Duncan, 2002. "Intransigencies in the Labour Supply Choice," Melbourne Institute Working Paper Series wp2002n17, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
  8. Rawlings, Laura B., 2004. "A new approach to social assistance : Latin America's experience with conditional cash transfer programs," Social Protection Discussion Papers 30165, The World Bank.
  9. Ravallion, Martin & Wodon, Quentin, 1999. "Does child labor displace schooling? - evidence on behavioral responses to an enrollment subsidy," Policy Research Working Paper Series 2116, The World Bank.
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Cited by:
  1. World Bank, 2010. "Uruguay - Equality of Opportunity : Achievements and Challenges," World Bank Other Operational Studies 2985, The World Bank.
  2. Amarante, Veronica & Vigorito, Andrea, 2011. "Uruguayâ..s Income Inequality and Political Regimes during 1981â..2010," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).

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