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Whoever has will be given more: child endowment and human capital investment
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SYSNO ASEP 0490355 Document Type V - Research Report R&D Document Type O - Ostatní Title Whoever has will be given more: child endowment and human capital investment Author(s) Borga, Liyousew Gebremedhin (NHU-N)
Pidkuyko, M. (GB)Issue data Prague: CERGE-EI, 2018 ISSN 1211-3298 Series CERGE-EI Working Paper Series Series number 616 Number of pages 41 s. Publication form Print - P Language eng - English Country CZ - Czech Republic Keywords cognitive ability ; health endowment ; intrahousehold allocation Subject RIV AH - Economics OECD category Applied Economics, Econometrics R&D Projects GBP402/12/G130 GA ČR - Czech Science Foundation (CSF) Institutional support NHU-N - RVO:67985998 Annotation Using a unique longitudinal survey from Ethiopia, we investigate whether resource constrained
parents reinforce or attenuate differences in early abilities between their children. We propose a simple model that allows for sibling interactions. To overcome the endogeneity associated with measures of endowment, we construct a measure of human capital at birth that is plausibly net of prenatal investment. We estimate a sibling fixed-effect model to account for bias due to unobserved family-specific heterogeneity. We find that parents reinforce educational inequality: inherently healthy children are more likely to attend preschool, be enrolled in elementary school, and have more expenses incurred towards their education. Health inputs are allocated in a compensatory manner.
Workplace Economics Institute Contact Tomáš Pavela, pavela@cerge-ei.cz, Tel.: 224 005 122 Year of Publishing 2019 Electronic address https://www.cerge-ei.cz/pdf/wp/Wp616b.pdf
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