Social Interactions and Schooling Decisions

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IZA Seminar

Place: Schaumburg-Lippe-Str. 9, 53113 Bonn

Date: 18.01.2005, 12:15 - 13:30

   

Presentation by 

Rafael Lalive (University of Lausanne)
   

Abstract:

This paper provides empirical evidence on the relevance of social determinants in schooling. In particular, we study how much a student's school attendance decision is affected by the choices of his or her peers. Identification is based on a randomized intervention that grants a cash subsidy encouraging school attendance to some students in a village but not to others. Results indicate that the ineligible student's decision to attend school is affected strongly by the choices in the peer group. Moreover, social interactions are equally important among boys and girls, and throughout grades 3-6 of primary school.

   
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