Digging Deep: Resource Exploitation and Higher Education

Lenin Balza (), Camilo De Los Rios and Nathaly Rivera

No 12451, IDB Publications (Working Papers) from Inter-American Development Bank

Abstract: Do resource-extraction booms crowd out postsecondary education? We explore this question by examining the higher education-related decisions of Chilean high school graduates during the 2000s commodities boom. We find mineral extraction increases a person's likelihood of enrolling in postsecondary technical education while reducing the likelihood of completing a four-year professional degree program. Importantly, effects are heterogeneous across economic backgrounds. The impact on college dropouts is primarily present among students that graduated from public high schools, which generally cater to low-income groups. Our findings show that natural resources may affect human capital accumulation differently across income groups in resource-rich economies.

Keywords: Resource Curse; ResourceBooms; Education; Latin America; Chile (search for similar items in EconPapers)
JEL-codes: I23 I25 I26 Q32 Q33 (search for similar items in EconPapers)
Date: 2022-10
New Economics Papers: this item is included in nep-dev
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Working Paper: Digging Deep: Resource Exploitation and Higher Education (2022)
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Persistent link: https://EconPapers.repec.org/RePEc:idb:brikps:12451

DOI: 10.18235/0004495

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