Conditional Cash Transfers: Do They Result in More Patient Choices and Increased Educational Aspirations?


Conditional cash transfers aim to increase human capital in poorer families. They do this directly through conditions but may also influence household decision making in other ways. Using a regression discontinuity design, we test whether a large conditional cash transfer program affects discounting choices and aspirations for children’s education. A greater willingness to defer consumption and desire to invest in education may result from habits formed during the program, information received, and/or by the relaxation of the budget constraint. We however find no evidence of such impacts, which limits the long-term impacts of such programs if the transfers were to cease

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oai:jupiter.its.unimelb.edu.au:11343/227137Last time updated on 10/15/2019View original full text link

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