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The Impact of Parental Health on Children's Schooling and Labour Force Participation: Evidence from Vietnam

Listed author(s):
  • Mendolia, Silvia

    ()

    (University of Wollongong)

  • Nguyen, Thi

    (University of Wollongong)

  • Yerokhin, Oleg

    ()

    (University of Wollongong)

Registered author(s):

    This paper investigates the relationship between parental health shocks and children's engagement in education and labour market, using a panel data survey of Vietnamese families, interviewed between 2004 and 2008. While there is substantial evidence showing the intergenerational transmission of health, the literature investigating the impact of parental health on children's educational and labour market outcomes is limited, especially in developing countries. We use child fixed effects and control for a detailed set of household and local area characteristics. Our main findings show that maternal illness substantially decreases chances of being enrolled in school for children between 10 and 23 years old and, at the same time, increases the children's likelihood of entering the labour market and working more hours for children aged 10-15 years old. The effect is particularly pronounced for girls, who seem to experience worst adverse consequences in terms of education and labour market engagement.

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    File URL: http://ftp.iza.org/dp10651.pdf
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    Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 10651.

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    Length: 27 pages
    Date of creation: Mar 2017
    Handle: RePEc:iza:izadps:dp10651
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    1. Owen O'Donnell & Furio C. Rosati & Eddy van Doorslaer, 2005. "Health effects of child work: Evidence from rural Vietnam," Journal of Population Economics, Springer;European Society for Population Economics, vol. 18(3), pages 437-467, 09.
    2. Mont, Daniel & Nguyen, Cuong, 2013. "Does Parental Disability Matter to Child Education? Evidence from Vietnam," World Development, Elsevier, vol. 48(C), pages 88-107.
    3. Janet Currie, 2009. "Healthy, Wealthy, and Wise: Socioeconomic Status, Poor Health in Childhood, and Human Capital Development," Journal of Economic Literature, American Economic Association, vol. 47(1), pages 87-122, March.
    4. Paul Gertler & Jonathan Gruber, 2002. "Insuring Consumption Against Illness," American Economic Review, American Economic Association, vol. 92(1), pages 51-70, March.
    5. Ardeshir Sepehri & Sisira Sarma & Wayne Simpson, 2006. "Does non-profit health insurance reduce financial burden? Evidence from the Vietnam living standards survey panel," Health Economics, John Wiley & Sons, Ltd., vol. 15(6), pages 603-616.
    6. Janet Currie & Enrico Moretti, 2007. "Biology as Destiny? Short- and Long-Run Determinants of Intergenerational Transmission of Birth Weight," Journal of Labor Economics, University of Chicago Press, vol. 25, pages 231-264.
    7. Jonathan Guryan & Erik Hurst & Melissa Kearney, 2008. "Parental Education and Parental Time with Children," Journal of Economic Perspectives, American Economic Association, vol. 22(3), pages 23-46, Summer.
    8. Bratti, Massimiliano & Mendola, Mariapia, 2014. "Parental health and child schooling," Journal of Health Economics, Elsevier, vol. 35(C), pages 94-108.
    9. Robert Haveman & Barbara Wolfe, 1995. "The Determinants of Children's Attainments: A Review of Methods and Findings," Journal of Economic Literature, American Economic Association, vol. 33(4), pages 1829-1878, December.
    10. Case, Anne & Paxson, Christina, 2001. "Mothers and others: who invests in children's health?," Journal of Health Economics, Elsevier, vol. 20(3), pages 301-328, May.
    11. Samuel S. Lieberman & Adam Wagstaff, 2009. "Health Financing and Delivery in Vietnam : Looking Forward," World Bank Publications, The World Bank, number 2594, September.
    12. Anne Case & Cally Ardington, 2006. "The impact of parental death on school outcomes: Longitudinal evidence from South Africa," Demography, Springer;Population Association of America (PAA), vol. 43(3), pages 401-420, August.
    13. Sophie Mitra & Michael Palmer & Daniel Mont & Nora Groce, 2016. "Can Households Cope with Health Shocks in Vietnam?," Health Economics, John Wiley & Sons, Ltd., vol. 25(7), pages 888-907, 07.
    14. Wagstaff, Adam, 2007. "The economic consequences of health shocks: Evidence from Vietnam," Journal of Health Economics, Elsevier, vol. 26(1), pages 82-100, January.
    15. Paul Gertler & David I. Levine & Minnie Ames, 2004. "Schooling and Parental Death," The Review of Economics and Statistics, MIT Press, vol. 86(1), pages 211-225, February.
    16. Stacey H. Chen & Yen-Chien Chen & Jin-Tan Liu, 2009. "The Impact of Unexpected Maternal Death on Education: First Evidence from Three National Administrative Data Links," American Economic Review, American Economic Association, vol. 99(2), pages 149-153, May.
    17. Alam, Shamma Adeeb, 2015. "Parental health shocks, child labor and educational outcomes: Evidence from Tanzania," Journal of Health Economics, Elsevier, vol. 44(C), pages 161-175.
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