IDEAS home Printed from https://ideas.repec.org/p/fpr/fcnddp/127.html
   My bibliography  Save this paper

A cost-effectiveness analysis of demand- and supply-side education interventions

Author

Listed:
  • Coady, David P.
  • Parker, Susan W.

Abstract

This paper is concerned with the issue of the most cost-effective way of improving access to education for poor households in developing countries. We consider two alternatives: (1) extensive expansion of the school system (i.e., bringing education to the poor) and (2) subsidizing investment in education by the poor (i.e., bringing the poor to the education system). To this end, we evaluate the Programa Nacional de Educación, Salud y Alimentación (PROGRESA), a large poverty alleviation program recently introduced in Mexico that subsidizes education. Using double-difference regression estimators on data collected before and after the program for randomly selected control and treatment households, we estimate the relative impacts of the demand- and supply-side program components. Combining these estimates with cost information, we find that the demand-side subsidies are substantially more cost-effective than supply-side expansions.

Suggested Citation

  • Coady, David P. & Parker, Susan W., 2002. "A cost-effectiveness analysis of demand- and supply-side education interventions," FCND discussion papers 127, International Food Policy Research Institute (IFPRI).
    • Handle: RePEc:fpr:fcnddp:127
    as

    Download full text from publisher

    File URL: https://www.ifpri.org/cdmref/p15738coll2/id/67028/filename/67029.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Schultz, T. Paul, 2001. "School subsidies for the poor," FCND briefs 102, International Food Policy Research Institute (IFPRI).
    2. Hanushek, Eric A, 1995. "Interpreting Recent Research on Schooling in Developing Countries," The World Bank Research Observer, World Bank, vol. 10(2), pages 227-246, August.
    3. Jean Drèze & Geeta Gandhi Kingdon, 2001. "School Participation in Rural India," Review of Development Economics, Wiley Blackwell, vol. 5(1), pages 1-24, February.
    4. Zeller, Manfred, 1994. "Determinants of credit rationing: A study of informal lenders and formal credit groups in Madagascar," World Development, Elsevier, vol. 22(12), pages 1895-1907, December.
    5. Bouis, Howarth E., 1994. "Agricultural technology and food policy to combat iron deficiency in developing countries," FCND discussion papers 1, International Food Policy Research Institute (IFPRI).
    6. Psacharopoulos, George, 1994. "Returns to investment in education: A global update," World Development, Elsevier, vol. 22(9), pages 1325-1343, September.
    7. Rosenzweig, Mark R & Wolpin, Kenneth I, 1986. "Evaluating the Effects of Optimally Distributed Public Programs: ChildHealth and Family Planning Interventions," American Economic Review, American Economic Association, vol. 76(3), pages 470-482, June.
    8. Schultz, T. Paul, 1988. "Education investments and returns," Handbook of Development Economics, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 1, chapter 13, pages 543-630, Elsevier.
    9. Behrman, Jere R & Sengupta, Piyali & Todd, Petra, 2005. "Progressing through PROGRESA: An Impact Assessment of a School Subsidy Experiment in Rural Mexico," Economic Development and Cultural Change, University of Chicago Press, vol. 54(1), pages 237-275, October.
    10. Skoufias, Emmanuel & Davis, Benjamin & de la Vega, Sergio, 2001. "Targeting the Poor in Mexico: An Evaluation of the Selection of Households into PROGRESA," World Development, Elsevier, vol. 29(10), pages 1769-1784, October.
    11. Kremer, Michael R, 1995. "Research on Schooling: What We Know and What We Don't: A Comment," The World Bank Research Observer, World Bank, vol. 10(2), pages 247-254, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. repec:ilo:ilowps:427404 is not listed on IDEAS
    2. Drusilla K. Brown & Alan V. Deardorff & Robert M. Stern, 2009. "The Effects of Multinational Production on Wages and Working Conditions in Developing Countries," World Scientific Book Chapters, in: Globalization And International Trade Policies, chapter 17, pages 623-687, World Scientific Publishing Co. Pte. Ltd..
    3. Antonopoulos, Rania., 2009. "The unpaid care work : paid work connection," ILO Working Papers 994274043402676, International Labour Organization.
    4. Stefan Mann, 2006. "Merit goods in a utilitarian framework," Review of Political Economy, Taylor & Francis Journals, vol. 18(4), pages 509-520.
    5. Glick, Peter, 2008. "What Policies will Reduce Gender Schooling Gaps in Developing Countries: Evidence and Interpretation," World Development, Elsevier, vol. 36(9), pages 1623-1646, September.
    6. Raymond, Melanie & Sadoulet, Elisabeth, 2003. "Educational Grants Closing the Gap in Schooling Attainment between Poor and Non-Poor," CUDARE Working Papers 25034, University of California, Berkeley, Department of Agricultural and Resource Economics.
    7. Amanda Glassman & Jessica Todd, 2007. "Performance-Based Incentives for Health: Conditional Cash Transfer Programs in Latin America and the Caribbean," Working Papers 120, Center for Global Development.
    8. Seiro ITO, 2006. "Raising Educational Attainment Of The Poor: Policies And Issues," The Developing Economies, Institute of Developing Economies, vol. 44(4), pages 500-531, December.
    9. World Bank & Observatoire National de la Pauvreté et de l’Exclusion Sociale, 2014. "Investing in People to Fight Poverty in Haiti : Reflections for Evidence-based Policy Making [Haïti - Investir dans l’humain pour combattre la pauvreté : Éléments de réflexions pour la prise de déc," World Bank Publications - Reports 21519, The World Bank Group.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Behrman, Jere R., 2010. "Investment in Education Inputs and Incentives," Handbook of Development Economics, in: Dani Rodrik & Mark Rosenzweig (ed.), Handbook of Development Economics, edition 1, volume 5, chapter 0, pages 4883-4975, Elsevier.
    2. Mona Said & Fatma El-Hamidi, 2008. "Taking Technical Education Seriously in MENA: Determinants, Labor Market Implications and Policy Lessons," Working Papers 450, Economic Research Forum, revised 09 Jan 2008.
    3. Glewwe, Paul & Kremer, Michael, 2006. "Schools, Teachers, and Education Outcomes in Developing Countries," Handbook of the Economics of Education, in: Erik Hanushek & F. Welch (ed.), Handbook of the Economics of Education, edition 1, volume 2, chapter 16, pages 945-1017, Elsevier.
    4. Bedi, A.S. & Edwards, J.H.Y., 2001. "The Impact of School Quality on Earnings and Educational Returns," ISS Working Papers - General Series 338, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
    5. Bedi, Arjun Singh & Edwards, John H. Y., 2002. "The impact of school quality on earnings and educational returns--evidence from a low-income country," Journal of Development Economics, Elsevier, vol. 68(1), pages 157-185, June.
    6. Fatma El-Hamidi, 2006. "General or Vocational Schooling? Evidence on School Choice, Returns, and 'Sheepskin' Effects from Egypt 1998," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 9(2), pages 157-176.
    7. Murat G. Kırdar & Meltem Dayıoğlu & İsmet Koç, 2016. "Does Longer Compulsory Education Equalize Schooling by Gender and Rural/Urban Residence?," The World Bank Economic Review, World Bank, vol. 30(3), pages 549-579.
    8. David K. Evans & Arkadipta Ghosh, 2008. "Prioritizing Educational Investments in Children in the Developing World," Working Papers 587, RAND Corporation.
    9. Behrman, Jere R., 1996. "Measuring the effectiveness of schooling policies in developing countries: Revisiting issues of methodology," Economics of Education Review, Elsevier, vol. 15(4), pages 345-364, October.
    10. Daniele Checchi, 1999. "Inequality in Incomes and Access to Education. A Cross-Country Analysis (1960-90)," Working Papers 21, University of Milano-Bicocca, Department of Economics, revised May 1999.
    11. Fatma El-Hamidi, 2004. "General or Vocational? Evidence on School Choice, Returns, and “Sheep Skin” Effects from Egypt 1998," Working Papers 0406, Economic Research Forum, revised 01 Aug 2004.
    12. Pritchett, Lant, 1996. "Where has all the education gone?," Policy Research Working Paper Series 1581, The World Bank.
    13. Victoria Gunnarsson & Peter F. Orazem & Mario A. Sánchez, 2006. "Child Labor and School Achievement in Latin America," The World Bank Economic Review, World Bank, vol. 20(1), pages 31-54.
    14. Chicchi, D., 1999. "Inequality in Income and Access to Education: A Cross-Country Analysis," Research Paper 158, World Institute for Development Economics Research.
    15. Suzanne Duryea & Jere R. Behrman & Miguel Székely, 1999. "Inversiones en enseñanza y condiciones macroeconómicas: investigación micro-macro de América Latina y el Caribe," Research Department Publications 4185, Inter-American Development Bank, Research Department.
    16. Paxson, Christina*Schady, Norbert, 1999. "Do school facilities matter? : the case of the Peruvian Social Fund (FONCODES)," Policy Research Working Paper Series 2229, The World Bank.
    17. Estevan, Fernanda, 2013. "The impact of conditional cash transfers on public education expenditures: A political economy approach," European Journal of Political Economy, Elsevier, vol. 32(C), pages 268-284.
    18. Skoufias, Emmanuel & McClafferty, Bonnie, 2001. "Is PROGRESA working?," FCND briefs 118, International Food Policy Research Institute (IFPRI).
    19. Polcyn, Jan, 2017. "Edukacja jako dobro publiczne - próba kwantyfikacji [Education as a public good – an attempt at quantification]," MPRA Paper 76606, University Library of Munich, Germany, revised 2017.
    20. Handa, Sudhanshu, 1999. "Raising primary school enrollment in developing countries," FCND discussion papers 76, International Food Policy Research Institute (IFPRI).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fpr:fcnddp:127. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/ifprius.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.