How do educational transfers affect child labour supply and expenditures? Evidence from Indonesia of impact and flypaper effects

Indunil De Silva and Sudarno Sumarto ()

MPRA Paper from University Library of Munich, Germany

Abstract: This study utilises a large nationally representative household survey of unusual scope and richness from Indonesia to analyse how the receipt of educational transfers, scholarships and related assistance programmes affects the labour supply of children and the marginal spending behaviour of households on children’s educational goods. We found strong evidence of educational cash transfers and related assistance programmes significantly decreasing the time spent by children in income-generating activities in Indonesia. Households receiving educational transfers, scholarships and assistance were also found to spend more at the margin on voluntary educational goods. These results were stronger for children living in poor families. Our results are particularly relevant for understanding the role of cash transfers and educational assistance in middle-income countries where enrolment rates are already at satisfactory levels, but the challenge is to keep the students in school at post-primary levels

Keywords: Child labour; cash transfers; education expenditures and flypaper effects. (search for similar items in EconPapers)
JEL-codes: D6 H4 I28 I38 (search for similar items in EconPapers)
Date: 2014-08-08, Revised 2014-12-19
New Economics Papers: this item is included in nep-dev, nep-edu and nep-sea
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https://mpra.ub.uni-muenchen.de/65311/1/MPRA_paper_65311.pdf original version (application/pdf)
https://mpra.ub.uni-muenchen.de/66767/1/MPRA_paper_65311.pdf revised version (application/pdf)

Related works:
Journal Article: How do Educational Transfers Affect Child Labour Supply and Expenditures? Evidence from Indonesia of Impact and Flypaper Effects (2015)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:65311

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