Upping the Ante: The Equilibrium Effects of Unconditional Grants to Private Schools

• 成果类型: Article
• 署名作者: Andrabi, Tahir; Das, Jishnu; Khwaja, Asim, I; Ozyurt, Selcuk; Singh, Niharika
• 署名单位: Claremont Colleges; Pomona College; Georgetown University; Harvard University; York University - Canada
• 刊物名称: AMERICAN ECONOMIC REVIEW
• ISSN/ISSBN: 0002-8282
• DOI: 10.1257/aer.20180924
• 发表日期: 2020
• 页码: 3315-3349
• 关键词: Microenterprises; CHOICE; inputs

摘要

We assess whether financing can help private schools, which now account for one-third of primary school enrollment in low- and middle-income countries. Our experiment allocated unconditional cash grants to either one (L) or all (H) private schools in a village. In both, arms, enrollment and revenues increased, leading to above market returns. However, test scores increased only in H schools, accompanied by higher fees, and a greater focus on teachers. We provide a model demonstrating that market forces can provide endogenous incentives to increase quality and increased financial saturation can he used to leverage competition, generating socially desirable outcomes.