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Macroeconomic Effects of 'Free' Secondary Schooling in the Developing World / Junichi Fujimoto, David Lagakos, Mitchell VanVuren.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Fujimoto, Junichi.
Contributor:
National Bureau of Economic Research.
Lagakos, David.
VanVuren, Mitchell.
Series:
Working Paper Series (National Bureau of Economic Research) no. w31029.
NBER working paper series no. w31029
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2023.
Summary:
This paper studies the macroeconomic effects of publicly funded ('free') secondary schooling in the developing world. Our analysis is based on an over-lapping generations model of human capital accumulation that we estimate to match experimental evidence on the effects of scholarships for poor but talented students in Ghana. The model predicts that nationwide free secondary schooling increases average education levels but reduces GDP per capita in the long run. The human capital gains from free schooling in the model are offset by lost income during schooling years, negative selection of new students, and reductions in fertility by high-ability households.
Notes:
Print version record
March 2023.

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