Parental Quality Investment, Child Effort, and Human Capital Accumulation

Salvador Contreras ()

International Economic Journal, 2010, vol. 25, issue 3, 387-417

Abstract: This paper develops a theoretical model that explores the effects of child investment on human capital accumulation. Household investment effects are measured as a function of quality of investment choices, time allocation, child effort, and spillover effects. The theory dynamics are derived by employing a two-period OLG model. The model dynamics reveal the existence of multiple steady states of quality investment and child human capital accumulation under two stages of development. These dynamics show why poor households are often unable to escape poverty. Empirically, the theory and dynamics are tested with United States data. The data suggest that for poor households, income and parental human capital have no significant effect on child performance at school. Child effort and parental quality investment are shown to be significant determinants of child performance at school across household types.

Date: 2010
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://hdl.handle.net/10.1080/10168737.2010.505246 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:intecj:v:25:y:2011:i:3:p:387-417

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RIEJ20

DOI: 10.1080/10168737.2010.505246

Access Statistics for this article

International Economic Journal is currently edited by Jaymin Lee Editor

More articles in International Economic Journal from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().