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Aggregate Economic Shocks, Child Schooling, and Child Health

Bibliographic Data

ID23375249
AuthorsF H G Ferreira, Norbert Schady
Year2009
Volume24
Issue2
Pages147-181
Publication date2009-08-01
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueThe World Bank Research Observer (JOURNAL)
Journal identifiersISSN: 0257-3032 • E-ISSN: 1564-6971
PublisherOxford University Press (OUP) (PUBLISHER)
DOI10.1093/wbro/lkp006
OpenAlexW2124818116
LanguageEN
Citations received73
References cited48

Do aggregate economic shocks, such as those caused by macroeconomic crises or droughts, reduce child human capital? The answer to this question has important implications for public policy. If shocks reduce investments in children, they may transmit poverty from one generation to the next. This paper uses a simple framework to analyze the effects of aggregate economic shocks on child schooling and health. It shows that the expected effects are ambiguous, because of a tension between income and substitution effects. The paper then reviews the recent empirical literature on the subject. In richer countries, like the United States, child health and education outcomes are counter-cyclical: they improve during recessions. In poorer countries, mostly in Africa and low-income Asia, the outcomes are pro-cyclical: infant mortality rises, and school enrollment and nutrition fall during recessions. In the middle-income countries of Latin America, the picture is more nuanced: health outcomes are generally pro-cyclical, and education outcomes counter-cyclical. Each of these findings is consistent with the simple conceptual framework. The paper discusses possible implications for expenditure allocation.

Aggregate income · Demographic economics · Development economics · Economic growth · Economics · Human capital · Income distribution · Inequality · Latin Americans · Macroeconomics · Political science · Poverty · Recession · Shock (circulatory) · Agricultural risk and resilience · Income, Poverty, and Inequality · Medicine · Poverty, Education, and Child Welfare

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Unique citing works73
Citations per year4,29
Citation span2009 - 2026 (18)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 62

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