Schooling in Developing Countries: The Roles of Supply, Demand and Government Policy

In developing countries, rising incomes, increased demand for more skilled labor, and government investments of considerable resources on building and equipping schools and paying teachers have contributed to global convergence in enrollment rates and completed years of schooling. Nevertheless, in many countries substantial education gaps persist between rich and poor, between rural and urban households and between males and females. To address these gaps, some governments have introduced school vouchers or cash transfers programs that are targeted to disadvantaged children. Others have initiated programs to attract or retain students by expanding school access or by setting higher teacher eligibility requirements or increasing the number of textbooks per student. While enrollments have increased, there has not been a commensurate improvement in knowledge and skills of students. Establishing the impact of these policies and programs requires an understanding of the incentives and constraints faced by all parties involved, the school providers, the parents and the children. The chapter reviews the economic literature on the determinants of schooling outcomes and schooling gaps with a focus on static and dynamic household responses to specific policy initiatives, perceived economic returns and other incentives. It discusses measurement and estimation issues involved with empirically testing these models and reviews findings. Governments have increasingly adopted the practice of experimentation and evaluation before taking steps to expand new policies. Often pilot programs are initiated in settings that are atypically appropriate for the program, so that the results overstate the likely impact of expanding the program to other settings. Program expansion can also result in general equilibrium feedback effects that do not apply to isolated pilots. These behavioral models provide a useful context within which to frame the likely outcomes of such expansion.

Reexamining Rural Decline: How Changing Rural Classifications Affect Perceived Growth

This article illustrates the commonly overlooked sample selection problem inherent in using rural classification methods that change over time due to population changes. Since fast growing rural areas grow out of their rural status, using recent rural definitions excludes the most successful places from the analysis. Average economic performance of the areas remaining rural significantly understates true rural performance. We illustrate this problem using one rural classification system, rural-urban continuum codes. Choice of code vintage alters conclusions regarding the relative speed of rural and urban growth and can mislead researchers regarding magnitudes and signs of factors believed to influence growth.

Promotion with and Without Learning: Effects on Student Enrollment and Dropout Behavior

Many educators and policymakers have argued for lenient grade promotion policy – even automatic promotion – in developing country settings where grade retention rates are high. The argument assumes that grade retention discourages persistence or continuation in school and that the promotion of children with lower achievement does not hamper their ability or their peer’s ability to perform at the next level. Alternatively, promoting students into grades for which they are not prepared may lead to early dropout behavior. This study shows that in a sample of schools from the Northwest Frontier Province (NWFP) of Pakistan, students are promoted primarily on the basis of merit. An econometric decomposition of promotion decisions into a component that is based on merit indicators (attendance and achievement in mathematics and language) and another that is uncorrelated with those indicators allow a test of whether parental decisions to keep their child in school is influenced by merit-based or non-merit-based promotions. Results suggest that the enrollment decision is significantly influenced by whether learning has taken place, and that grade promotion that is uncorrelated with merit has a negligible impact on school continuation.Grade repetition; grade retention; grade promotion; enrollment; achievement; dropout; Pakistan

Measuring the Impact of Meat Packing and Processing Facilities in the Nonmetropolitan Midwest: A Difference-In-Differences Approach

We measure how local growth in meatpacking and processing affects growth in local economies, government expenditures, and crime rates from 1990-2000 in nonmetropolitan counties of 12 Midwestern States. Propensity score matching is used as a check on possible non-random placement of meatpacking and processing plants. Results suggest that as the meat packing industryï¾’s share of a countyï¾’s total employment and wage bill rises, total employment growth increases. However, employment growth in other sectors slows, as does local wage growth. There is some evidence that slower wage growth swamps the employment growth so that aggregate income grows more slowly. We find no evidence that growth in the industry changes the growth rates for crime or government spending.

Promotion with and without learning : effects on student enrollment and dropout behavior

Many educators and policymakers have argued for lenient grade promotion policy - even automatic promotion - in developing country settings where grade retention rates are high. The argument assumes that grade retention discourages persistence or continuation in school and that the promotion of children with lower achievement does not hamper their ability or their peers'ability to perform at the next level. Alternatively, promoting students into grades for which they are not prepared may lead to early dropout behavior. This study shows that in a sample of schools from the Northwest Frontier Province of Pakistan, students are promoted primarily on the basis of merit. An econometric decomposition of promotion decisions into a component that is based on merit indicators (attendance and achievement in mathematics and language) and another that is uncorrelated with those indicators allows a test of whether parental decisions to keep their child in school is influenced by merit-based or non-merit-based promotions. Results suggest that the enrollment decision is significantly influenced by whether learning has taken place, and that grade promotion that is uncorrelated with merit has a negligible impact on school continuation.Tertiary Education,Education For All,Secondary Education,Primary Education,Teaching and Learning

Is It a Jungle Out There?: Meat Packing, Immigrants and Rural Communities

�Over the past 45 years, meatpacking has shifted from a predominantly urban to a predominantly�rural industry. Meatpacking plants can represent a significant share of a rural community’s�employment. As a traditional employer of immigrants, these plants can also alter significantly�the demographic composition of a rural community. These changes have led to numerous�controversies regarding whether these plants impose social or economic costs on their host�communities. This study uses comments culled from various media to identify the most�prominent controversies, including whether meatpacking presence leads to local language�problems, social service expenses, special needs schooling or displacement of native-born�citizens. These controversies can be recast as hypotheses that can be subjected to empirical tests.�We show that the meat processing industry has had large impacts on the demographic�composition of rural communities and their schools including increases in populations requiring�specialized services. However, there is no evidence that the industry increases per capita�government expenditures suggesting that rural communities trade off the economic benefits of�having these large employers against the costs of accommodating the needs of the new residents. ��Welfare; Rural; meatpacking; immigration; ESL; public expense; social cost

Meat Packing and Processing Facilities in the Non-Metropolitan Midwest: Blessing or Curse?

Growth in the meat packing and processing industry in the Midwestern United States has generated a significant amount of debate regarding the costs and benefits of this type of economic development. This research employs 1990-2000 proprietary data from the Bureau of Labor Statistics' Longitudinal Database (LDB) to investigate the effects of this industry on social and economic outcomes in non-metropolitan counties of twelve Midwestern states. The empirical specification uses a difference-in-differences specification to measure the effect of industry growth on local economic growth, government expenditures, and crime. Propensity score matching is used as a check on possible non-random placement of meat packing and processing plants. Results suggest that as the meat packing industry's share of a country's total employment and wage bill rises, total employment growth increases. However, employment growth in other sectors slows, as does local wage growth. There is some evidence that slower wage growth swamps the employment growth so that aggregate income grows more slowly. We find no evidence that growth in the industry changes the growth rates for crime or government spending.Community/Rural/Urban Development,

DERIVING EMPIRICAL DEFINITIONS OF SPATIAL LABOR MARKETS: THE ROLES OF COMPETING VERSUS COMPLEMENTARY GROWTH

Rural communities compete with each other for firms, but their residents often commute large distances to work. Consequently, rural communities can benefit from economic growth occurring as much as 50 miles away. Data on county population growth shows that counties benefit from growth one or two counties away.Labor and Human Capital,

AN ANALYSIS OF OCCUPATIONAL HEALTH IN PORK PRODUCTION

The rapid expansion of large-scale pork production has been accompanied by increasing concerns regarding potential detrimental consequences of environmental hazards on the health of producers. This study makes use of health indicators obtained from attendees at the World Pork Expo between 1991 and 1995 to evaluate the impact of pork production generally and of confinement production, specifically, on producer health. The analysis expands existing studies because the larger number of participants allows for detailed analysis, both nonfarmers and non-pork farmers are used as controls, both objective as well as self-reported health measures are considered, and personal characteristics such as height, weight, age, gender, smoking habits, and years of exposure to confinement operations and swine operations are controlled. The analysis shows that pork producers are more likely to report nagging respiratory symptoms (cough, sinus problems, sore throat) than are other farmers. Confinement operators have increased incidence of some symptoms relative to other pork producers. However, there was no evidence of permanent loss of pulmonary function associated with pork production or confinement operation. Farmers suffered from a greater incidence of hearing loss and loss of dominant hand strength relative to nonfarmers. Pork producers had even greater incidence of lost hand strength than other farmers but had no added incidence of hearing loss. On the plus side, farmers had lower blood pressure than did nonfarmers.