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The Long-Term Effects of Conditional Cash Transfers on Child Labor and School Enrollment

Bibliographic Data

ID5846208
AuthorsMarcel Peruffo (Graduate Student, Department of Economics Brown University Providence RI 2912), Pedro Cavalcanti Ferreira (0000-0001-9560-8200, Fundação Getulio Vargas)
Year2017
Volume55
Issue4
Pages2008-2030
Publication date2017-05-13
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueEconomic Inquiry (JOURNAL)
Journal identifiersISSN: 0095-2583 • E-ISSN: 1465-7295
PublisherWiley (PUBLISHER • GB)
DOI10.1111/ecin.12457
OpenAlexW2282905187
LanguageEN
Citations received12
References cited13

This paper investigates the long-term effects of conditional cash transfers on school attainment and child labor. To this end, we construct a dynamic heterogeneous agent model, calibrate it with Brazilian data, and introduce a policy similar to the Brazilian Bolsa Família . Our results suggest that this type of policy has a very strong impact on educational outcomes, sharply increasing primary school completion. The conditional transfer is also able to reduce the share of working children from 22% to 17%. We then compute the transition to the new steady state and show that the program actually increases child labor over the short run, because the transfer is not enough to completely cover the schooling costs, so children have to work to be able to comply with the program's schooling eligibility requirement. We also evaluate the impacts on poverty, inequality, and welfare. ( JEL O11, I25, J24

Cash transfers · Conditional cash transfer · Educational attainment · Child Nutrition and Water Access · Income, Poverty, and Inequality · Poverty, Education, and Child Welfare

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Unique citing works12
Citations per year2
Citation span2020 - 2026 (7)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 12

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