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Does a Diversification Motive Influence Children’s School Entry in the Ethiopian Highlands?

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  • Lindskog, Annika

    (Department of Economics, School of Business, Economics and Law, Göteborg University)

Abstract

Household-level diversification of human capital investments is investigated. A simple model is developed, followed by an empirical analysis using 2000-2007 data from the rural Amhara region of Ethiopia. Diversification would imply negative siblings’ dependency and be more important in more risk-averse households. Hence it is investigated if older siblings’ literacy has a more negative (smaller if positive) impact on younger siblings’ school entry in more risk-averse households. Results suggest diversification across brothers, but are not statistically strong, and with forces creating positive sibling dependency dominating over diversification.

Suggested Citation

  • Lindskog, Annika, 2011. "Does a Diversification Motive Influence Children’s School Entry in the Ethiopian Highlands?," Working Papers in Economics 494, University of Gothenburg, Department of Economics.
    • Handle: RePEc:hhs:gunwpe:0494
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    Cited by:

    1. Lindskog, Annika, 2013. "The effect of siblings’ education on school-entry in the Ethiopian highlands," Economics of Education Review, Elsevier, vol. 34(C), pages 45-68.

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    More about this item

    Keywords

    Diversification; Education; Ethiopia; Uncertainty;
    All these keywords.

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education

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