nep-neu New Economics Papers
on Neuroeconomics
Issue of 2017‒07‒16
two papers chosen by
Daniel Houser
George Mason University

  1. Human Capital Development and Parental Investment in India By Orazio Attanasio; Costas Meghir; Emily Nix
  2. Life after Lead: Effects of Early Interventions for Children Exposed to Lead By Billings, Stephen B.; Schnepel, Kevin T.

  1. By: Orazio Attanasio (University College London, IFS, NBER); Costas Meghir (Cowles Foundation, Yale University); Emily Nix (Dept. of Economics, UCL)
    Abstract: We estimate production functions for cognition and health for children aged 1-12 in India, where over 70 million children aged 0-5 are at risk of developmental deficits. The inputs into the production functions include parental background, prior child cognition and health, and child investments. We use income and local prices to control for the endogeneity of investments. We find that cognition is sensitive to investments throughout the age range we consider, while health is mainly affected by early investments. We also find that inputs are complementary, and crucially that health is very important in determining cognition. Our paper contributes in understanding how investments and early health outcomes are important in child development.
    Keywords: Early childhood development, Human capital, India, Nonlinear factor models, Young lives survey, Health, Cognition
    JEL: I14 I15 I25 I32 J13 J24 O15
    Date: 2015–12
  2. By: Billings, Stephen B. (University of Colorado, Boulder); Schnepel, Kevin T. (University of Sydney)
    Abstract: Lead pollution is consistently linked to cognitive and behavioral impairments, yet little is known about the benefits of public health interventions for children exposed to lead. This paper estimates the long-term impacts of early-life interventions (e.g. lead remediation, nutritional assessment, medical evaluation, developmental surveillance, and public assistance referrals) recommended for lead-poisoned children. Using linked administrative data from Charlotte, NC, we compare outcomes for children who are similar across observable characteristics but differ in eligibility for intervention due to blood lead test results. We find that the negative outcomes previously associated with early-life exposure can largely be reversed by intervention.
    Keywords: early childhood intervention, early health shocks, lead exposure, human capital formation
    JEL: I12 I18 I21 J13 J24 K42 Q53 Q58
    Date: 2017–07

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