Education spillovers in farm productivity: empirical evidence in rural India
Empirical evidence of education spillovers in developing countries and rural contexts is scarce and focuses on specific channels. This paper provides evidence of such spillovers in rural India, by evaluating the overall impact of education of neighbors on farm productivity. We use cross-sectional data from the India Human Development Survey of 2005. Spatial econometric tools are used to take into account social distance between neighbors. To be sure that our definition of the neighborhood does not drive our results, we test three different definitions of neighbors. Our results show that education spillovers are substantial: one additional year in the mean level of education of neighbors increases households' farm productivity by 3%. These findings are robust to changes in specification and open the way to further research. In particular, the paper does not explore the channels through which this spillover effect happens. This paper confirms the choice of improving education in developing countries: giving a child education will certainly provide him greater revenues but it may also provide his neighbors greater revenues. It also shows the importance for policy makers of taking into account education spillovers and policies' complementarity when facing political trade-offs. This paper is one of the few to underline that education externalities do not only exist in urban contexts and that education spillovers do not only occur between workers of the manufacturing and service sectors. There are also spillovers in sectors considered as more traditional such as agriculture.
|Date of creation:||2011|
|Date of revision:|
|Contact details of provider:|| Web page: http://www.ael.ethz.ch/|
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Asadullah, M. Niaz & Rahman, Sanzidur, 2006.
"Farm Productivity and Efficiency in Rural Bangladesh: The Role of Education Revisited,"
2006 Annual Meeting, August 12-18, 2006, Queensland, Australia
25482, International Association of Agricultural Economists.
- M. N. Asadullah & S. Rahman, 2009. "Farm productivity and efficiency in rural Bangladesh: the role of education revisited," Applied Economics, Taylor & Francis Journals, vol. 41(1), pages 17-33.
- M Niaz Asadullah & Sanzidur Rahman, 2005. "Farm productivity and efficiency in rural Bangladesh:The role of education revisited," CSAE Working Paper Series 2005-10, Centre for the Study of African Economies, University of Oxford.
- M. Niaz Asadullah & Sanzidur Rahman, 2005. "Farm productivity and efficiency in rural Bangladesh: The role of education revisited," Economics Series Working Papers WPS/2005-10, University of Oxford, Department of Economics.
- Simon Appleton & Arsene Balihuta, 1996.
"Education and agricultural productivity: Evidence from Uganda,"
Journal of International Development,
John Wiley & Sons, Ltd., vol. 8(3), pages 415-444.
- Simon Appleton & Arsène Balihuta, 1996. "Education and agricultural productivity: evidence from Uganda," CSAE Working Paper Series 1996-05, Centre for the Study of African Economies, University of Oxford.
- Simon Appleton and Arsene Balihuta, 1996. "Education and agricultural productivity: evidence from Uganda," Economics Series Working Papers WPS/1996-05, University of Oxford, Department of Economics.
- Goux, Dominique & Maurin, Eric, 2006.
"Close Neighbours Matter: Neighbourhood Effects on Early Performance at School,"
IZA Discussion Papers
2095, Institute for the Study of Labor (IZA).
- Dominique Goux & Eric Maurin, 2007. "Close Neighbours Matter: Neighbourhood Effects on Early Performance at School," Economic Journal, Royal Economic Society, vol. 117(523), pages 1193-1215, October.
- Goux, Dominique & Maurin, Eric, 2006. "Close Neighbours Matter: Neighbourhood Effects on Early Performance at School," CEPR Discussion Papers 5682, C.E.P.R. Discussion Papers.
- Dominique Goux & Eric Maurin, 2006. "Close Neighbours Matter: Neighbourhood Effects on Early Performance at School," CEE Discussion Papers 0068, Centre for the Economics of Education, LSE.
- Dominique Goux & Eric Maurin, 2006. "Close neighbours matter: neighbourhood effects on early performance at school," LSE Research Online Documents on Economics 19412, London School of Economics and Political Science, LSE Library.
- Sharada Weir & John Knight, 2007. "Production Externalities of Education: Evidence from Rural Ethiopia," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 16(1), pages 134-165, January.
- Banerjee, Abhijit & Iyer, Lakshmi & Somanathan, Rohini, 2008.
"Public Action for Public Goods,"
Handbook of Development Economics,
- Banerjee, Abhijit & Iyer, Lakshmi & Somanathan, Rohini, 2007. "Public Action for Public Goods," CEPR Discussion Papers 6154, C.E.P.R. Discussion Papers.
- Abhijit Banerjee & Lakshmi Iyer & Rohini Somanathan, 2007. "Public Action for Public Goods," NBER Working Papers 12911, National Bureau of Economic Research, Inc.
- Sonalde Desai & Amaresh Dubey & Reeve Vanneman & Rukimini Banerji, 2008. "Private Schooling in India: A New Educational Landscape," India Policy Forum, Global Economy and Development Program, The Brookings Institution, vol. 5(1), pages 1-58.
- George Psacharopoulos & Harry Anthony Patrinos, 2004.
"Returns to investment in education: a further update,"
Taylor & Francis Journals, vol. 12(2), pages 111-134.
- Psacharopoulos, George & Patrinos, Harry Anthony, 2002. "Returns to investment in education : a further update," Policy Research Working Paper Series 2881, The World Bank.
- Munshi, Kaivan, 2004. "Social learning in a heterogeneous population: technology diffusion in the Indian Green Revolution," Journal of Development Economics, Elsevier, vol. 73(1), pages 185-213, February.
- LE GALLO, Julie, 2000. "Econométrie spatiale 1 -Autocorrélation spatiale," LATEC - Document de travail - Economie (1991-2003) 2000-05, LATEC, Laboratoire d'Analyse et des Techniques EConomiques, CNRS UMR 5118, Université de Bourgogne.
When requesting a correction, please mention this item's handle: RePEc:zbw:gdec11:31. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics)
If references are entirely missing, you can add them using this form.