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Family Networks. Evidence from Rural Mexico

Author

Listed:
  • Giacomo De Giorgi

    () (Stanford University, BREAD, CEPR and NBER)

Abstract

Family networks play an important role, in particular in presence of imperfections in the credit and insurance markets. Familial ties can support informal contract that wold not be implemented otherwise. Such characteristics make family networks particularly relevant in developing countries where market imperfections are prevalent. In this paper we first describe the nature of family networks in a large sample of rural Mexican villages and we analyze some of the correlates of specific network characteristics. Second, we confirm the important role of family networks as a resource sharing institution and facilitator of schooling investments.

Suggested Citation

  • Giacomo De Giorgi, 2011. "Family Networks. Evidence from Rural Mexico," Rivista di Politica Economica, SIPI Spa, issue 3, pages 7-31, JULY-SEPT.
  • Handle: RePEc:rpo:ripoec:y:2011:i:3:p:7-31
    as

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    More about this item

    Keywords

    extended family network; village inequality; risk sharing; schooling;

    JEL classification:

    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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