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  • Articles  (1,333)
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  • Articles  (1,333)
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  • 1
    Publication Date: 2021-10-23
    Description: While economic sanctions are successful in achieving political goals, they can hurt the civilian population. These negative effects could be even more detrimental and long lasting for future generations. This study estimates the effects of economic sanctions on children’s education by exploiting the United Nations sanctions imposed on Iran in 2006. Using the variation in the strength of sanctions across industries and difference-in-differences with synthetic control analyses, this study finds that the sanctions decreased children’s total years of schooling by 0.1 years and the probability of attending college by 4.8 percentage points. Moreover, households reduced education spending by 58 percent—particularly on school tuition. These effects are larger for children who were exposed to the sanctions for longer. The results imply that sanctions have a larger effect on the income of children than their parents. Therefore, ignoring the effects of sanctions on future generations significantly understates their total economic costs.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 2
    Publication Date: 2021-09-06
    Description: This study investigates the effects of state censorship in the context of the 2007 government closing of RCTV, a popular opposition television channel in Venezuela. Some parts of the country had access to a second opposition channel, Globovision, while other parts completely lost access to opposition television. The first finding, based upon ratings data, is that viewership fell on the progovernment replacement, following the closing of RCTV, but rose on Globovision in areas with access to the signal. Based upon this switching, the paper investigates whether support for Chavez fell in areas that retained access to opposition television, relative to those that completely lost access. Using three measures, Latinbarometer survey data, electoral returns, and data on protest activity, the second finding is that support for Chavez fell in municipalities that retained access to opposition television, relative to municipalities that lost access to opposition television. Taken together, these two findings suggest that voters switching from censored outlets to uncensored outlets can limit the effectiveness of state censorship.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 3
    Publication Date: 2021-08-14
    Description: Does increasing the number of women in career stages that precede high-level positions affect female representation at the top of the career ladder? State legislature elections narrowly won by female candidates in India are exploited to examine the effect of expanding the pipeline of women in local politics on subsequent female representation and success in national legislature elections. For each additional state legislature election won by a woman, there is a 34 percent increase in the number of female candidates contesting in the subsequent national election, and a 2.6 percentage-point increase in the average vote share won per female candidate. This relationship is driven by new female politicians and not by the progression of female state legislators nor by continued candidacy of previous female candidates for the national legislature.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 4
    Publication Date: 2021-08-10
    Description: Inequalities in learning opportunities arise from both household- and school-related factors. Although these factors are unlikely to be independent, few studies have considered the extent to which sorting between schools and households might aggravate educational inequalities. To fill this gap, this article presents a novel variance decomposition, which is then applied to data from over one million children from East Africa. Results indicate that sorting accounts for around 8 percent of the test-score variance, similar in magnitude to the contribution of differences in school quality. Empirical simulations of steady-state educational inequalities reveal that policies to mitigate sorting could substantially reduce educational inequalities over the long run.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 5
    Publication Date: 2020-10-02
    Description: Agricultural labor accounts for the largest share of child labor worldwide. Yet, measurement of farm labor statistics is challenging due to its inherent seasonality, variable and irregular work schedules, and the varying saliencies of individuals’ work activities. The problem is further complicated by the presence of widespread gender stratification of work and social lives. This study reports the findings of three randomized survey design interventions over the agricultural coffee calendar in rural Ethiopia to address whether response by proxy rather than by self-report has effects on the measurement of child labor statistics within and across seasons. While the estimates do not report differences for boys across all seasons, the analysis shows sizable self/proxy discrepancies in child labor statistics for girls. Overall, the results highlight concerns on the use of survey proxy respondents in agricultural labor, particularly for girls. The main findings have important implications for policymakers about data collection in rural areas in developing countries.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 6
    Publication Date: 2020-09-08
    Description: The methods to select safety net beneficiaries are the subject of frequent debates. Targeting assessments usually focus on efficiency by documenting the pre-program profile of selected beneficiaries. This study provides a more comprehensive analysis of targeting performance through an experiment embedded in a national cash transfer program in Niger. Eligible villages were randomly assigned to have beneficiary households selected by community-based targeting (CBT), proxy-means testing (PMT), or a formula to identify the food-insecure (FCS). The study considers targeting legitimacy and the impact of targeting choice on program effectiveness based on data collected after program roll-out. PMT is more efficient in identifying households with lower consumption per capita. Nonbeneficiaries find formula-based methods (PMT and FCS) more legitimate than CBT. Manipulation and information imperfections affect CBT, which can explain why it is not the most legitimate. Program impacts on some welfare dimensions are larger among households selected by PMT than CBT.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 7
    Publication Date: 2020-09-08
    Description: This paper investigates the sources of capital misallocation across a group of developing and developed countries, using the empirical methodology developed in David and Venkateswaran (2019. “The Sources of Capital Misallocation.” American Economic Review 109 (7): 2531–67). The main findings are: (i) technological frictions—namely, adjustment costs and uncertainty—account for only a modest share of the observed misallocation; (ii) heterogeneity in firm-level technologies potentially explains between one-quarter and one-half, but (iii) dispersion in markups is much smaller; (iv) after accounting for these factors, on average, at least 50 percent of misallocation within each country remains unexplained, suggesting a large role for additional—potentially distortionary—factors. These factors are largely attributable to a component that is correlated with firm size/productivity and one that is essentially permanent to the firm. They exhibit strong negative correlations with income per capita and direct measures of the quality of the business environment from the World Bank Doing Business Report. The paper reports a broad set of moments describing firm-level investment dynamics and detailed parameter estimates on a country-by-country basis with an eye towards future work in this area.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 8
    Publication Date: 2020-07-18
    Description: Total energy expenditures for the Indian population between 1983 and 2012 are estimated to shed light on the debate concerning falling measured caloric intake during the period (A. Deaton and J. Drèze. 2009. “Food and Nutrition in India: Facts and Interpretations.” Economic and Political Weekly 44(7): 42–65). Anthropometric, time-use, and detailed employment surveys are used to estimate the separate components of total energy expenditure related to metabolism and physical activity levels. Despite a significant drop in adult physical activity levels, total energy expenditures are flat overall between 1983 and 2012. Rising metabolic requirements due to increases in weight dampened the effect of falling activity levels on total energy expenditure. In addition, the 10 percent decline in the population share of children in the period raised average total energy expenditures considerably as children have much lower metabolic requirements and activity levels than adults.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 9
    Publication Date: 2020-06-26
    Description: The increased policy selectivity of aid allocations observed in recent years provides aid-recipient countries with an incentive to improve policies. The paper estimates that a change in the World Bank’s Country Policy and Institutional Assessment policy index from 1.5 to 2 for a recipient is associated with an increase of about 13 percent in aid. The analysis also finds a modest but statistically significant positive relationship between the global level of policy-selective aid and policy, suggesting that policy-selective aid improves policies in aid-recipient countries. This effect is properly identified, as the level of policy-selective aid in the global aid budget is exogenous to a recipient country’s policy choice. Furthermore, the paper provides a game-theoretic model that establishes the link between the policy selectivity of the global budget and better recipient-country policies in equilibrium.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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  • 10
    Publication Date: 2020-06-24
    Description: Access to primary care during early life can have substantial benefits in developing countries. This study evaluates the long-run impact of the Village Midwife Program in Indonesia. It utilizes the rollout variation of the program and links individual background and community characteristics in early childhood to adult outcomes in the Indonesian Family Life Survey. It finds that the presence of a midwife in a community in utero leads to an improvement in overall health, cognition, and economic outcomes among men, but not women. Greater receipt of antenatal care and skilled birth attendance could, in part, drive these results.
    Print ISSN: 0258-6770
    Electronic ISSN: 1564-698X
    Topics: Economics
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