Open AccessThe Impact of Remittances on Child Education in Pakistan
Author(s) -
Sami Ullah Khan,
Muhammad Jehangir Khan
Publication year - 2016
Publication title -
the lahore journal of economics
Language(s) - English
Resource type - Journals
eISSN - 1811-5446
pISSN - 1811-5438
DOI - 10.35536/lje.2016.v21.i1.a3
Subject(s) - remittance , probit model , instrumental variable , ordered probit , educational attainment , demographic economics , probit , economics , socioeconomics , geography , demography , economic growth , sociology , econometrics
This study examines the impact of remittances on school enrollment and the level of education attained among children aged 4–15 years in Pakistan. It uses a nationally representative survey, the Pakistan Social and Living Standards Measurement Survey for 2010/11. The migrant network variable at the village level interacting with the number of adults at the household level is used as an instrument for remittances. The results of the IV probit model show that children from remittance-receiving households are more likely to enroll in school. The marginal impact of remittances on school enrollment is larger for girls and for rural households. Hence, remittances help reduce regional and gender disparities in child school enrollment in Pakistan. The IV censored ordered probit model is used to investigate the impact of remittances on children’s grade attainment. The estimated impact is negative and significant, except for urban children, lowering the probability that a child will move to a higher grade.