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The Effect of a Transfer Program for the Elderly in Mexico City on Co-Residing Children's School Enrollment

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  • Emilio Gutierrez
  • Laura Juarez
  • Adrian Rubli

Abstract

A regression discontinuity analysis is used to test whether a sharp increase in the government transfers received by households, induced by a pension program for individuals age 70 and older in Mexico City, affects coresiding children's school enrollment. Results show that while household composition and other characteristics do not change significantly at the cutoff age for program eligibility, school enrollment increases significantly. This suggests that households may be credit constrained, as the sharp increase in government transfers is known and anticipated by individuals below the cutoff age.

Suggested Citation

  • Emilio Gutierrez & Laura Juarez & Adrian Rubli, 2017. "The Effect of a Transfer Program for the Elderly in Mexico City on Co-Residing Children's School Enrollment," The World Bank Economic Review, World Bank, vol. 31(3), pages 809-828.
    • Handle: RePEc:oup:wbecrv:v:31:y:2017:i:3:p:809-828.
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    6. Juarez Laura, 2010. "The Effect of an Old-Age Demogrant on the Labor Supply and Time Use of the Elderly and Non-Elderly in Mexico," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(1), pages 1-27, June.
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    Cited by:

    1. Catalina Amuedo‐Dorantes & Laura Juarez & Jorge Alonso, 2019. "The Effect Of Noncontributory Pensions On Saving In Mexico," Economic Inquiry, Western Economic Association International, vol. 57(2), pages 931-952, April.
    2. Bertoli, Simone & Murard, Elie, 2020. "Migration and co-residence choices: Evidence from Mexico," Journal of Development Economics, Elsevier, vol. 142(C).
    3. Luis Henrique Paiva & Santiago Falluh Varella, 2019. "The impacts of social protection benefits on behaviours potentially related to economic growth: a literature review," Working Papers 183, International Policy Centre for Inclusive Growth.
    4. Bertoli, Simone & Gautrain, Elsa & Murard, Elie, 2020. "Left Behind, but Not Alone: Changes in Living Arrangements and the Effects of Migration and Remittances in Mexico," IZA Discussion Papers 13917, Institute of Labor Economics (IZA).
    5. Herrmann, Tabea & Leckcivilize, Attakrit & Zenker, Juliane, 2021. "The impact of cash transfers on child outcomes in rural Thailand: Evidence from a social pension reform," The Journal of the Economics of Ageing, Elsevier, vol. 19(C).
    6. Jing You & Miguel Niño-Zarazúa, 2017. "Smoothing or strengthening the ‘Great Gatsby Curve’? The intergenerational impact of China’s New Rural Pension Scheme," WIDER Working Paper Series 199, World Institute for Development Economic Research (UNU-WIDER).
    7. Jing You & Miguel Niño-Zarazúa, 2017. "Smoothing or strengthening the 'Great Gatsby curve'?: The intergenerational impact of China's New Rural Pension Scheme," WIDER Working Paper Series wp-2017-199, World Institute for Development Economic Research (UNU-WIDER).
    8. Jorge Alonso & Catalina Amuedo-Dorantes & Laura Juárez, 2016. "The Effect of Non-contributory Pensions on Saving in Mexico," IDB Publications (Working Papers) 95976, Inter-American Development Bank.
    9. Jing You & Miguel Niño‐Zarazúa, 2019. "The Intergenerational Impact of China's New Rural Pension Scheme," Population and Development Review, The Population Council, Inc., vol. 45(S1), pages 47-95, December.
    10. Anne Esser & Charlotte Bilo & Raquel Tebaldi, 2019. "How can cash transfer programmes work for women and children? A review of gender- and child-sensitive design features," Working Papers 178, International Policy Centre for Inclusive Growth.

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    More about this item

    JEL classification:

    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination

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