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Natural Disasters and Perceived Returns to Education

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  • Doumbia, Macoura
  • de Walque, Damien B. C. M.

Abstract

The occurrence of unexpected shocks, such as natural disasters, that destroy physical capital could affect the perception of returns to investment in human capital. This paper tests this hypothesis using a survey conducted in Mozambique while Cyclone Idai hit the country in March 2019. A difference-in-difference approach is used to compare the households interviewed before and after the cyclone occurrence, as well as the households that were directly affected by the cyclone, through destruction, injuries, and deaths. The results indicate that households affected by major shocks report higher perceived returns to completing primary education.

Suggested Citation

  • Doumbia, Macoura & de Walque, Damien B. C. M., 2025. "Natural Disasters and Perceived Returns to Education," Policy Research Working Paper Series 11220, The World Bank.
    • Handle: RePEc:wbk:wbrwps:11220
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    References listed on IDEAS

    as
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    2. Chand, Satish & Clemens, Michael A., 2023. "Human capital investment under exit options: Evidence from a natural quasi-experiment," Journal of Development Economics, Elsevier, vol. 163(C).
    3. Philippe De Vreyer & Nathalie Guilbert & Sandrine Mesple-Somps, 2015. "Impact of Natural Disasters on Education Outcomes: Evidence from the 1987–89 Locust Plague in Mali," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 24(1), pages 57-100.
    4. repec:dau:papers:123456789/14058 is not listed on IDEAS
    5. Valeria Groppo & Kati Kraehnert, 2017. "The impact of extreme weather events on education," Journal of Population Economics, Springer;European Society for Population Economics, vol. 30(2), pages 433-472, April.
    6. Lisa Cameron & Manisha Shah, 2015. "Risk-Taking Behavior in the Wake of Natural Disasters," Journal of Human Resources, University of Wisconsin Press, vol. 50(2), pages 484-515.
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