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Does the Impact of Oportunidades Program Increases in Highly Competitive Regions?

  • Marcos E. Domínguez Viera

    ()

    (Gobierno del Estado de Nuevo León.)

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    Evidence on Oportunidades, a successful anti-poverty program in Mexico, has suggested that changes to the current grant structure may induce considerable improvements to its effectiveness. Moreover, there are proposals addressing the importance of regional, observable and unobservable characteristics, regarding its implementation. It is employed competitiveness level outcomes to investigate if this social policy has heterogeneous performance in different regions of intervention. For this purpose, a Difference-in-Difference model is applied to estimate short and mid-term impacts on enrolment rates. Results indicate that the general competitiveness effect is positive but not robust, given the considerable level of aggregation of the data used, whereas if it is distinguised Oportunidades treatment by selected competitiveness outcomes, states with highly efficient government institutions, middle competitive economic sectors and middle inclusive, educated and healthy individuals, present a larger program impact on enrolment rates. It is confirmed the significant improvements to program effectiveness and the impact of the competitiveness variables when it is considered only a sample of older children.

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    Article provided by Universidad Autonoma de Nuevo Leon, Facultad de Economia in its journal Ensayos Revista de Economia.

    Volume (Year): XXX (2011)
    Issue (Month): 2 (November)
    Pages: 79-111

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    Handle: RePEc:ere:journl:v:xxx:y:2011:i:2:p:79-111
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    1. Angelucci, Manuela & Attanasio, Orazio, 2009. "Oportunidades: Program Effect on Consumption, Low Participation, and Methodological Issues," IZA Discussion Papers 4475, Institute for the Study of Labor (IZA).
    2. Oliver, Azuara, 2009. "Does poverty alleviation increase migration? evidence from Mexico," MPRA Paper 35076, University Library of Munich, Germany.
    3. Raul Ramos & Jordi Suriñach & Manuel Artís, 2010. "Human capital spillovers, productivity and regional convergence in Spain," Papers in Regional Science, Wiley Blackwell, vol. 89(2), pages 435-447, 06.
    4. Manuela Angelucci & Giacomo De Giorgi, 2009. "Indirect Effects of an Aid Program: How Do Cash Transfers Affect Ineligibles' Consumption?," American Economic Review, American Economic Association, vol. 99(1), pages 486-508, March.
    5. Silvia Marginean, 2006. "Competitiveness: From Microeconomic Foundations To National Determinants," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 1(1), pages 29-35, October.
    6. David P. Coady & Susan W. Parker, 2004. "Cost-effectiveness Analysis of Demand- and Supply-side Education Interventions: the Case of PROGRESA in Mexico," Review of Development Economics, Wiley Blackwell, vol. 8(3), pages 440-451, 08.
    7. Aldy, Joseph Edgar & Pizer, William, 2011. "The Competitiveness Impacts of Climate Change Mitigation Policies," Scholarly Articles 5688779, Harvard Kennedy School of Government.
    8. Battu, Harminder & Belfield, Clive R. & Sloane, Peter J., 2001. "Human Capital Spill-Overs Within the Workplace," IZA Discussion Papers 404, Institute for the Study of Labor (IZA).
    9. Gertler, Paul & Martinez, Sebastian & Rubio-Codina, Marta, 2006. "Investing cash transfers to raise long term living standards," Policy Research Working Paper Series 3994, The World Bank.
    10. Jere R. Behrman & Susan W. Parker & Petra E. Todd, 2005. "Long-Term Impacts of the Oportunidades Conditional Cash Transfer Program on Rural Youth in Mexico," Ibero America Institute for Econ. Research (IAI) Discussion Papers 122, Ibero-America Institute for Economic Research.
    11. Navon, Guy, 2009. "Human Capital Spillovers in the Workplace: Labor Diversity and Productivity," MPRA Paper 17741, University Library of Munich, Germany.
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