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Social Safety Nets: The Role of Education, Remittances and Migration

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  • Yaw Nyarko and Kwabena Gyimah-Brempong

Abstract

We study the role of education as a social protection mechanism. We compare the effectiveness of direct cash handouts in comparison to education over the long-term in reducing the vulnerability to poverty. We also look at the role of three inter-related mechanisms related to protection against shocks: Education, Remittances and Migration. We compute internal rates of return to investments education when the objective is social protection or poverty, and not just the value of incomes. We use Ghanaian Livings Survey data and show that, for benchmark interest rates, the returns to primary and secondary education are positive for social protection. This suggests that for the long-run, education may be a more important means of social protection than cash transfers.

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  • Yaw Nyarko and Kwabena Gyimah-Brempong, 2011. "Social Safety Nets: The Role of Education, Remittances and Migration," EUI-RSCAS Working Papers 26, European University Institute (EUI), Robert Schuman Centre of Advanced Studies (RSCAS).
    • Handle: RePEc:erp:euirsc:p0288
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    Cited by:

    1. Simplice A. Asongu, 2017. "The Comparative Economics of Knowledge Economy in Africa: Policy Benchmarks, Syndromes, and Implications," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 8(2), pages 596-637, June.
    2. Yaw Nyarko & Kwabena Gyimah-Brempon, 2011. "Social Safety Nets: The Role of Education, Remittances and Migration," RSCAS Working Papers 2011/26, European University Institute.
    3. John Ssozi & Simplice A. Asongu, 2016. "The Effects of Remittances on Output per Worker in Sub-Saharan Africa: A Production Function Approach," South African Journal of Economics, Economic Society of South Africa, vol. 84(3), pages 400-421, September.
    4. Simplice A. Asongu & Jacinta C. Nwachukwu, 2016. "The role of lifelong learning on political stability and non violence: evidence from Africa," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 43(1), pages 141-164, January.
    5. Oulmane, Nassim & Sadni Jallab, Mustapha & Zidouemba, Patrice, 2020. "The African Continental Free Trade Area in a Covid-19 time : macroeconomic and sectoral impacts," Conference papers 333158, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.

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    JEL classification:

    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • F35 - International Economics - - International Finance - - - Foreign Aid
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies

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