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The Effect of the Universal Primary Education Program on Labor Market Outcomes: Evidence from Tanzania

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  • Esther Delesalle

Abstract

The purpose of this article is to study the effect of education on labor market participation and household consumption in a rural environment. The Tanzanian Universal Primary Education (UPE) program, which provides variations in education across locations and over time, is used as a natural experiment. Exploiting these two exogenous variations to instrument education, I find that education increases household consumption, especially in agriculture and in nonfarm self-employment activities. I also provide evidence that education increases the probability of working in agriculture. These results, initially surprising, suggest that returns to education in agriculture are positive, provided that the skills taught at school are suitable for agriculture.

Suggested Citation

  • Esther Delesalle, 2019. "The Effect of the Universal Primary Education Program on Labor Market Outcomes: Evidence from Tanzania," NBER Working Papers 25789, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:25789
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    References listed on IDEAS

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    Cited by:

    1. Juan Segundo Zapiola, 2023. "Drought Shocks and School Attendance in Tanzania," Young Researchers Working Papers 12, Universidad de San Andres, Departamento de Economia, revised Aug 2023.
    2. Filmer, Deon, 2023. "Long-lived consequences of rapid scale-up? The case of free primary education in six Sub-Saharan African countries," International Journal of Educational Development, Elsevier, vol. 102(C).
    3. Laia Navarro-Sola, 2021. "Secondary Schools with Televised Lessons: The Labor Market Returns of the Mexican Telesecundaria," Working Papers 2021-053, Human Capital and Economic Opportunity Working Group.

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    More about this item

    JEL classification:

    • I20 - Health, Education, and Welfare - - Education - - - General
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O22 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Project Analysis

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