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Discussion Paper Details
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Full Details
Title: Social Interactions and Schooling Decisions
Author(s): Alejandra Cattaneo and Rafael Lalive
Publication Date: September 2006
Keyword(s): field experiment, peer effects, PROGRESA and schooling
Programme Area(s): Labour Economics
Abstract: The aim of this paper is to study whether schooling choices are affected by social interactions. Such social interactions may be important because children enjoy spending time with other children or parents learn from other parents about the ability of their children. Identification is based on a randomized intervention that grants a cash subsidy encouraging school attendance among a sub-group of eligible children within small rural villages in Mexico. Results indicate that (i) the eligible children tend to attend school more frequently, (ii) but also the neligible children acquire more schooling when the subsidy is introduced in their local village, (iii) social interactions are economically important, and (iv) they may arise due to changes in parents? perception of their children?s ability.
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Bibliographic Reference
Cattaneo, A and Lalive, R. 2006. 'Social Interactions and Schooling Decisions'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=5816