nep-dev New Economics Papers
on Development
Issue of 2016‒04‒23
five papers chosen by
Jacob A. Jordaan
Universiteit Utrecht

  1. Re-estimating the Relationship between Inequality and Growth By Nathalie Scholl; Stephan Klasen
  2. Assessing the impacts of Mais Educacao on educational outcomes : evidence between 2007 and 2011 By Almeida,Rita Kullberg; Bresolin,Antonio; Pugialli Da Silva Borges,Bruna; Mendes,Karen; Menezes Filho,Naercio
  3. When do gender wage differences emerge ? a study of Azerbaijan's labor market By Pastore,Francesco; Sattar,Sarosh; Sinha,Nistha; Tiongson,Erwin H. R.
  4. Estimation of Vulnerability to Poverty Using a Multilevel Longitudinal Model: Evidence from the Philippines By Mina, Christian D.; Imai, Katsushi S.
  5. Does market access mitigate the impact of seasonality on child growth? Panel data evidence from northern Ethiopia: By Abay, Kibrewossen; Hirvonen, Kalle

  1. By: Nathalie Scholl (Georg-August University Göttingen); Stephan Klasen (University of Göttingen)
    Abstract: In this paper, we revisit the inequality-growth relationship using an enhanced panel data set with improved inequality data and special attention to the role of transition countries. We base our analysis on the specification of Forbes (2000), but also address the functional form concerns raised by Banerjee and Duflo (2003). We arrive at three main findings: First, similar to Forbes we find a significant positive association between inequality and subsequent economic growth in the full sample, but this is entirely driven by transition (post-Soviet) countries. Second, this positive relationship in transition countries is not robust to the inclusion of separate time effects. Lastly, it therefore appears that this association is not causal but rather driven by the particular dynamics of the transition. Our finding is consistent with the claim that the relationship between inequality and growth emerges due to the particular timing of inequality and growth dynamics in transition countries. In particular, the rise in inequality in the 1990s coincided with a sharp output collapse, leading us to find an association between the large increase in inequality in the early 1990 and a growth recovery in the late 1990s. In sum, once the transition country dynamics are accounted for, we find no robust, systematic relationship between inequality and subsequent growth, neither for levels nor for changes in inequality. These results hold for different lag structures as well as in the medium- rather than the short term, and the empirical patterns observed are robust to the use of different data sets on inequality.
    Keywords: Inequality; Growth; Transition Countries; Dynamic Panel
    JEL: O11 O15 O40 E25
    Date: 2016–04–14
  2. By: Almeida,Rita Kullberg; Bresolin,Antonio; Pugialli Da Silva Borges,Bruna; Mendes,Karen; Menezes Filho,Naercio
    Abstract: To address the educational gap, many Latin American countries are focusing on extension of the school day and enrichment of the curriculum. In Brazil, a nationwide policy -- Mais Educação -- was implemented in 2008 with this objective. This paper explores the nationwide rollout of the program across the country and compares the performance of schools before and after implementation of the program. The paper quantifies the impacts of the program on student learning and dropout rates in urban areas, and investigates the heterogeneity of impacts by several characteristics of the program's implementation. Participating schools are compared with nonparticipating schools after controlling for school selection into the program based on observable characteristics using propensity score matching. The analysis finds that participation in Mais Educação has on average no impacts on school dropout rates and average negative impacts on mathematics test scores. The negative impacts on student achievement are stronger in the short term, which suggests that the negative effects may be reduced as the program improves its implementation. In addition, especially for fifth-grade schools, the level of student spending is associated with reduced dropout rates. Interestingly, in schools choosing the fields of Portuguese and/or sports in the added hours, the program is associated with lower test scores in Portuguese and mathematics. Finally, for the sample of fifth-grade schools, heterogeneous impacts are seen in the program according to the GDP per capita of the city where the school is located. The higher the GDP per capita, the greater the positive impact of the program on mathematics test scores and on dropout rates.
    Keywords: Cultural Policy,Education For All,Secondary Education,Tertiary Education,Primary Education
    Date: 2016–04–18
  3. By: Pastore,Francesco; Sattar,Sarosh; Sinha,Nistha; Tiongson,Erwin H. R.
    Abstract: Building on recent analyses that find a sizeable overall gender wage gap in Azerbaijan's workforce, this paper uses data on young workers in their early years in the labor market to understand how gender wage gaps evolve over time, if at all. The paper uses a unique database from a survey of young people ages 15?29 years. The analysis provides evidence that new labor market entrants begin with little or no gender differences in earnings, but a wage gap gradually emerges over time closer to the childbearing years. The gender wage gap grows from virtually zero, or even a small, positive gap in favor of women, until age 20 years, to about 20 percent two years later and even more than 30 percent at age 29 years. The gap in labor supply rises from almost zero to about 20 percent during the years from 19 to 22, while the gap in hours worked falls from positive (up to six hours per week more than their male counterparts) to negative (up to five hours per week less) over the same period in the life cycle. When decomposing the gap at different deciles of the wage distribution, it appears that most of it is at the lower and upper ends of the distribution, among young adults and prime-age workers. Selection of women into employment is strong and strongly skill-based: when controlling for sample selection bias, the gender gap becomes positive.
    Keywords: Gender and Development,Population&Development,Youth and Government,Labor Markets,Population Policies
    Date: 2016–03–21
  4. By: Mina, Christian D.; Imai, Katsushi S.
    Abstract: Using the panel data for the Philippines in 2003-2009, the paper estimates a three-level random coefficient model to measure household vulnerability and to decompose it into idiosyncratic and covariate components. It corrects heterogeneity bias using Bell and Jones's (2015) "within-between" formulation. A majority of the poor and 18 percent of the nonpoor are found to be vulnerable to unobservable shocks, while both groups of households are more susceptible to idiosyncratic shocks than to covariate shocks. Adequate safety nets should be provided for vulnerable households that lack access to infrastructure, or are larger in size with more dependents and less-educated household heads.
    Keywords: Philippines, poverty, vulnerability, multilevel model, panel data
    Date: 2016
  5. By: Abay, Kibrewossen; Hirvonen, Kalle
    Abstract: Seasonality in agricultural production continues to shape intra-annual food availability and prices in low-income countries. Using high-frequency panel data from northern Ethiopia, this study attempts to quantify seasonal fluctuations in children's weights. In line with earlier studies, we document considerable seasonality in children’s age and height adjusted weights. While children located closer to local food markets are better nourished compared to their counterparts residing in more remote areas, their weights are also subject to considerable seasonality. Further analysis provides evidence that children located closer to food markets consume more diverse diets than those located farther away. However, the content of these diets varies across seasons: children are less likely to consume animal source foods during the lean season.
    Keywords: children, dietary diversity, nutrition, markets, metrics, seasonality, economic development, agricultural policies, food policies, microeconomics, child anthropometrics, food markets,
    Date: 2016

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