Aggregate and Distributional Effects of School Closure Mitigation Policies: Public versus Private Education

Lukas Mahler and Minchul Yum

No 18726, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: Recent studies highlight the adverse effects of school closures in terms of average lifetime income loss, cross-sectional inequality, and intergenerational mobility. We use a simple model of human capital formation to compare two policy instruments that can address these negative consequences: direct public provision, such as through an extension of school time, and the provision of private education subsidies. We demonstrate that the effects of these policies on inequality and mobility depend crucially on the degree of substitutability between private and public inputs in the production of human capital.

Keywords: School closures; Inequality; Intergenerational mobility; Parental investments; Substitutability (search for similar items in EconPapers)
JEL-codes: E24 I24 J24 (search for similar items in EconPapers)
Date: 2024-01
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Journal Article: Aggregate and distributional effects of school closure mitigation policies: Public versus private education (2024)
Working Paper: Aggregate and Distributional Effects of School Closure Mitigation Policies: Public versus Private Education (2024)
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