Would greater household wealth make young children smarter?

Thai Minh Pham and Tuyen Tran

MPRA Paper from University Library of Munich, Germany

Abstract: Drawing on the Young Lives data obtained from three cycles of surveys from 2006 to 2016, our study examines factors affecting children’s cognitive ability in Vietnam. Controlling for the conditional wealth, which is the residual of the regression equation of the household wealth index in 2006 and 2013, our study provides evidence that conditional wealth has an effect of increasing the cognitive capacity of 15-year-old children, manifested in all three methods of measurement: by vocabulary points, math scores and reading comprehension scores in Vietnamese. This finding once again confirms that late intervention after the first 1,000 days has a positive impact on children's cognitive ability. Notably, our finding suggests that using the conditional wealth enables to capture the impact of economic shocks, which in turn have a significant effect on the cognitive ability of children in Vietnam.

Keywords: household wealth; conditional wealth; cognitive skills; the gender gap (search for similar items in EconPapers)
JEL-codes: D1 D10 D13 D6 D62 D63 (search for similar items in EconPapers)
Date: 2021-03-31
New Economics Papers: this item is included in nep-cwa, nep-sea and nep-tra
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Published in Children & Society https://doi.org/10.1111/chso.12448 (2021): pp. 1-15

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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:107168

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