Abstract |
Conditional cash transfer programs link monetary transfers to investment in child and family human capital, in the hopes of alleviating current poverty and reducing the intergenerational transmission of poverty. These programs have rapidly become the main anti-poverty program across Latin America and are now spreading beyond the region. Several studies have evaluated the short term impacts of Mexico’s Oportunidades program after 12 to 18 months of program participation. The studies of schooling impacts found benefits to schooling in terms of increased enrollment and higher schooling attainment. This paper moves beyond the short-run effects by evaluating the impacts 5.5 years after the program was introduced, not only on schooling attainment but, also on work and on cognitive achievement, as measured by test scores. Our results show positive impacts on grades of schooling attained, but few effects on achievement tests. With respect to work, the estimates show reductions in work for younger youth, consistent with postponement of work because of longer time attending school, and an increase in work for older girls. The results are also suggestive of a shift out of agricultural employment towards non-agricultural employment. |