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Turning a Shove into a Nudge? A "Labeled Cash Transfer" for Education

Author

Listed:
  • Najy Benhassine
  • Florencia Devoto
  • Esther Duflo
  • Pascaline Dupas
  • Victor Pouliquen

Abstract

Conditional Cash Transfers (CCTs) have been shown to increase human capital investments, but their standard features make them expensive. We use a large randomized experiment in Morocco to estimate an alternative government-run program, a "labeled cash transfer" (LCT): a small cash transfer made to fathers of school-aged children in poor rural communities, not conditional on school attendance but explicitly labeled as an education support program. We document large gains in school participation. Adding conditionality and targeting mothers made almost no difference in our context. The program increased parents' belief that education was a worthwhile investment, a likely pathway for the results. (JEL H23, I24, 128, I38, J24, O15, O18)

Suggested Citation

  • Najy Benhassine & Florencia Devoto & Esther Duflo & Pascaline Dupas & Victor Pouliquen, 2015. "Turning a Shove into a Nudge? A "Labeled Cash Transfer" for Education," American Economic Journal: Economic Policy, American Economic Association, vol. 7(3), pages 86-125, August.
  • Handle: RePEc:aea:aejpol:v:7:y:2015:i:3:p:86-125
    Note: DOI: 10.1257/pol.20130225
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    References listed on IDEAS

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    1. Caldes, Natalia & Coady, David & Maluccio, John A., 2006. "The cost of poverty alleviation transfer programs: A comparative analysis of three programs in Latin America," World Development, Elsevier, vol. 34(5), pages 818-837, May.
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    More about this item

    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure

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