Human Capital Development and Parental Investment in India | Zendy

Orazio Attanasio | Zendy; Costas Meghir | Zendy; Emily Nix | Zendy

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Human Capital Development and Parental Investment in India

Author(s) -

Orazio Attanasio,

Costas Meghir,

Emily Nix

Publication year - 2020

Publication title -

the review of economic studies

Language(s) - English

Resource type - Journals

SCImago Journal Rank - 15.641

H-Index - 141

eISSN - 1467-937X

pISSN - 0034-6527

DOI - 10.1093/restud/rdaa026

Subject(s) - human capital , cognition , affect (linguistics) , investment (military) , production (economics) , estimation , cognitive development , economics , child health , child development , demographic economics , parental investment , psychology , developmental psychology , medicine , economic growth , pediatrics , political science , biology , microeconomics , psychiatry , pregnancy , management , communication , politics , offspring , law , genetics

We estimate production functions for cognition and health for children aged 1–12 in India, based on the Young Lives Survey. India has over 70 million children aged 0–5 who are at risk of developmental deficits. The inputs into the production functions include parental background, prior child cognition and health, and child investments, which are taken as endogenous. Estimation is based on a nonlinear factor model, based on multiple measurements for both inputs and child outcomes. Our results show an important effect of early health on child cognitive development, which then becomes persistent. Parental investments affect cognitive development at all ages, but more so for younger children. Investments also have an impact on health at early ages only.

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