Does a Diversification Motive Influence Children’s School Entry in the Ethiopian Highlands?

Annika Lindskog

No 494, Working Papers in Economics from University of Gothenburg, Department of Economics

Abstract: Household-level diversification of human capital investments is investigated. A simple model is developed, followed by an empirical analysis using 2000-2007 data from the rural Amhara region of Ethiopia. Diversification would imply negative siblings’ dependency and be more important in more risk-averse households. Hence it is investigated if older siblings’ literacy has a more negative (smaller if positive) impact on younger siblings’ school entry in more risk-averse households. Results suggest diversification across brothers, but are not statistically strong, and with forces creating positive sibling dependency dominating over diversification.

Keywords: Diversification; Education; Ethiopia; Uncertainty (search for similar items in EconPapers)
JEL-codes: D13 D81 I21 (search for similar items in EconPapers)
Pages: 25 pages
Date: 2011-04-01
New Economics Papers: this item is included in nep-afr, nep-dev and nep-ure
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Citations: View citations in EconPapers (1)

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