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Does an intra-household flypaper effect exist? Evidence from the educational fee reduction reform in rural China

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  • Shi, Xinzheng

Abstract

We test for evidence of an intra-household flypaper effect by evaluating the impact of an educational fee reduction reform in rural China on different categories of household expenditure, including spending on individual children. Using pre- and post-reform data, this study exploits cohort comparisons, variation in the extent of school fee reductions across different villages, and variation in the subsidies received by children enrolled in different grades within the same family to identify the impact of the reform. The results show that educational fee reductions are matched by increased voluntary educational spending on the same children who receive the fee reductions, providing strong evidence of an intra-household flypaper effect.

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  • Shi, Xinzheng, 2012. "Does an intra-household flypaper effect exist? Evidence from the educational fee reduction reform in rural China," Journal of Development Economics, Elsevier, vol. 99(2), pages 459-473.
  • Handle: RePEc:eee:deveco:v:99:y:2012:i:2:p:459-473
    DOI: 10.1016/j.jdeveco.2012.05.006
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    Cited by:

    1. Xinzheng Shi, 2013. "Impact of household educational expenditures on the test scores of children," Economics Bulletin, AccessEcon, vol. 33(2), pages 1177-1184.
    2. Fang Guanfu & Chen Yu, 2021. "Sibling Rivalry: Evidence from China’s Compulsory Schooling Reform," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 21(2), pages 611-656, April.
    3. Kate Ambler & Diego Aycinena & Dean Yang, 2015. "Channeling Remittances to Education: A Field Experiment among Migrants from El Salvador," American Economic Journal: Applied Economics, American Economic Association, vol. 7(2), pages 207-232, April.
    4. Zhou, Lei & Jiang, Bo & Wang, Jingxi, 2020. "Do cash transfers have impacts on student Academic, cognitive, and enrollment outcomes? Evidence from rural China," Children and Youth Services Review, Elsevier, vol. 116(C).
    5. Xiao, Yun & Li, Li & Zhao, Liqiu, 2017. "Education on the cheap: The long-run effects of a free compulsory education reform in rural china," Journal of Comparative Economics, Elsevier, vol. 45(3), pages 544-562.
    6. Wang, Yiru, 2018. "Educational and nutritional consequences of education subsidy in rural China," China Economic Review, Elsevier, vol. 51(C), pages 167-180.
    7. Dang Hai-Anh H. & Huang Yang & Selod Harris, 2020. "Children Left Behind in China: The Role of School Fees," IZA Journal of Development and Migration, Sciendo & Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 11(1), pages 1-29, January.
    8. Yongwei Chen & Ying Zhang, 2020. "Effects of free compulsory education on rural well‐being in China," Asian-Pacific Economic Literature, Asia Pacific School of Economics and Government, The Australian National University, vol. 34(2), pages 78-92, November.
    9. Glewwe, Paul & Park, Albert & Zhao, Meng, 2016. "A better vision for development: Eyeglasses and academic performance in rural primary schools in China," Journal of Development Economics, Elsevier, vol. 122(C), pages 170-182.
    10. Xinzheng Shi, 2016. "The Impact of Educational Fee Reduction Reform on School Enrolment in Rural China," Journal of Development Studies, Taylor & Francis Journals, vol. 52(12), pages 1791-1809, December.
    11. Ding, Yanqing & Lu, Fengming & Ye, Xiaoyang, 2020. "Intergovernmental transfer under heterogeneous accountabilities: The effects of the 2006 Chinese Education Finance Reform," Economics of Education Review, Elsevier, vol. 77(C).
    12. Lisa Sofie Höckel & Manuel Santos Silva & Tobias Stöhr, 2018. "Can Parental Migration Reduce Petty Corruption in Education?," The World Bank Economic Review, World Bank Group, vol. 32(1), pages 109-126.
    13. Indunil De Silva & Sudarno Sumarto, 2015. "How do Educational Transfers Affect Child Labour Supply and Expenditures? Evidence from Indonesia of Impact and Flypaper Effects," Oxford Development Studies, Taylor & Francis Journals, vol. 43(4), pages 483-507, December.
    14. Can Tang & Liqiu Zhao & Zhong Zhao, 2019. "Free Education Helps Combat Child Labor? The Effect of a Free Compulsory Education Reform in Rural China," Working Papers 2019-036, Human Capital and Economic Opportunity Working Group.
    15. Can Tang & Liqiu Zhao & Zhong Zhao, 2020. "Does free education help combat child labor? The effect of a free compulsory education reform in rural China," Journal of Population Economics, Springer;European Society for Population Economics, vol. 33(2), pages 601-631, April.
    16. Yarlina Yacoub, 2019. "Flypaper Effect in Indonesia: The Case of Kalimantan," GATR Journals jfbr164, Global Academy of Training and Research (GATR) Enterprise.
    17. Lin Zhang, 2021. "Education Expenditure and Parenting Styles: Evidence from Cognitive Development in China," Journal of Family and Economic Issues, Springer, vol. 42(4), pages 729-744, December.

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    More about this item

    Keywords

    Intra-household; Flypaper; Educational fee reduction reform; China;
    All these keywords.

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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