Working Paper: NBER ID: w20262
Authors: Kate Ambler; Diego Aycinena; Dean Yang
Abstract: We implement a randomized experiment offering Salvadoran migrants matching funds for educational remittances, which are channeled directly to a beneficiary student in El Salvador chosen by the migrant. The matches lead to increased educational expenditures, higher private school attendance, and lower labor supply of youths in El Salvador households connected to migrant study participants. We find substantial "crowd-in" of educational investments: for each $1 received by beneficiaries, educational expenditures increase by $3.72. We find no shifting of expenditures away from other students, and no effect on remittances.
Keywords: remittances; education; migrants; matching funds; crowding in
JEL Codes: C93; F22; F24; H24; I22; J15; O15
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| matching funds (C78) | increase in educational expenditures (H52) |
| 3:1 matching treatment (C78) | increase in educational expenditures (H52) |
| 3:1 matching treatment (C78) | higher private school attendance (I23) |
| 3:1 matching treatment (C78) | lower labor supply (J22) |
| educational expenditures (H52) | lower labor supply (J22) |