Intergenerational Social Mobility Based on the Investments in Human Capital : Evidence of the Long-Term Results of PROSPERA in Health

Mexico's conditional cash transfer program, PROSPERA, has demonstrated short- and medium-term positive effects on health and education, including: increased children's height; decreased risky behaviors among adolescents, including the pos...

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Main Authors: Gutierrez, Juan Pablo, Shamah-Levy, Teresa, Bertozzi, Stefano M., Rivera-Dommarco, Juan A.
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2019
Subjects:
Online Access:http://documents.worldbank.org/curated/en/380871568051845807/Intergenerational-Social-Mobility-Based-on-the-Investments-in-Human-Capital-Evidence-of-the-Long-Term-Results-of-PROSPERA-in-Health
http://hdl.handle.net/10986/32375
id okr-10986-32375
recordtype oai_dc
spelling okr-10986-323752022-09-19T12:17:12Z Intergenerational Social Mobility Based on the Investments in Human Capital : Evidence of the Long-Term Results of PROSPERA in Health Gutierrez, Juan Pablo Shamah-Levy, Teresa Bertozzi, Stefano M. Rivera-Dommarco, Juan A. SOCIAL MOBILITY CONDITIONAL CASH TRANSFER LABOR MOBILITY EDUCATIONAL ATTAINMENT INTERGENERATIONAL MOBILITY HUMAN CAPITAL WAGES HEALTH Mexico's conditional cash transfer program, PROSPERA, has demonstrated short- and medium-term positive effects on health and education, including: increased children's height; decreased risky behaviors among adolescents, including the postponement of parenthood; and increased years of schooling. This paper explores whether these effects lasted in the long-term and translated into positive changes in outcomes across generations. This study uses the most recent PROSPERA Evaluation Survey (ENCEL 2017) and combines it with previous waves and with the 1997 Socioeconomic Characteristics Survey (ENCASEH). Using intergenerational mobility analysis and quasi-experimental methods, this study finds strong evidence of positive absolute intergenerational mobility in height and years of schooling. The findings show that, on average, male offspring are 2.8 centimeters taller and have 5.3 more years of schooling than their providers (usually their parents), while female offspring are 4.1 centimeters taller and have 5.7 more years of schooling than their providers. These intergenerational gains are relevant not only because they reflect improvements in human capital, but also because these improvements have a positive return to investment. The study finds that a 1 percent increase in height is associated with a 10.7 and 8.8 percent increases in hourly wages for men and women, respectively. The analysis finds that a one-year increase in schooling is associated with 3.4 and 4.8 percent increases in hourly wages for men and women, respectively. These results show that PROSPERA has been successful in helping children and youth build human capital through better health and education, which has led to positive returns in the labor market. 2019-09-12T16:16:37Z 2019-09-12T16:16:37Z 2019-09 Working Paper http://documents.worldbank.org/curated/en/380871568051845807/Intergenerational-Social-Mobility-Based-on-the-Investments-in-Human-Capital-Evidence-of-the-Long-Term-Results-of-PROSPERA-in-Health http://hdl.handle.net/10986/32375 English Policy Research Working Paper;No. 9001 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Latin America & Caribbean Mexico
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic SOCIAL MOBILITY
CONDITIONAL CASH TRANSFER
LABOR MOBILITY
EDUCATIONAL ATTAINMENT
INTERGENERATIONAL MOBILITY
HUMAN CAPITAL
WAGES
HEALTH
spellingShingle SOCIAL MOBILITY
CONDITIONAL CASH TRANSFER
LABOR MOBILITY
EDUCATIONAL ATTAINMENT
INTERGENERATIONAL MOBILITY
HUMAN CAPITAL
WAGES
HEALTH
Gutierrez, Juan Pablo
Shamah-Levy, Teresa
Bertozzi, Stefano M.
Rivera-Dommarco, Juan A.
Intergenerational Social Mobility Based on the Investments in Human Capital : Evidence of the Long-Term Results of PROSPERA in Health
geographic_facet Latin America & Caribbean
Mexico
relation Policy Research Working Paper;No. 9001
description Mexico's conditional cash transfer program, PROSPERA, has demonstrated short- and medium-term positive effects on health and education, including: increased children's height; decreased risky behaviors among adolescents, including the postponement of parenthood; and increased years of schooling. This paper explores whether these effects lasted in the long-term and translated into positive changes in outcomes across generations. This study uses the most recent PROSPERA Evaluation Survey (ENCEL 2017) and combines it with previous waves and with the 1997 Socioeconomic Characteristics Survey (ENCASEH). Using intergenerational mobility analysis and quasi-experimental methods, this study finds strong evidence of positive absolute intergenerational mobility in height and years of schooling. The findings show that, on average, male offspring are 2.8 centimeters taller and have 5.3 more years of schooling than their providers (usually their parents), while female offspring are 4.1 centimeters taller and have 5.7 more years of schooling than their providers. These intergenerational gains are relevant not only because they reflect improvements in human capital, but also because these improvements have a positive return to investment. The study finds that a 1 percent increase in height is associated with a 10.7 and 8.8 percent increases in hourly wages for men and women, respectively. The analysis finds that a one-year increase in schooling is associated with 3.4 and 4.8 percent increases in hourly wages for men and women, respectively. These results show that PROSPERA has been successful in helping children and youth build human capital through better health and education, which has led to positive returns in the labor market.
format Working Paper
author Gutierrez, Juan Pablo
Shamah-Levy, Teresa
Bertozzi, Stefano M.
Rivera-Dommarco, Juan A.
author_facet Gutierrez, Juan Pablo
Shamah-Levy, Teresa
Bertozzi, Stefano M.
Rivera-Dommarco, Juan A.
author_sort Gutierrez, Juan Pablo
title Intergenerational Social Mobility Based on the Investments in Human Capital : Evidence of the Long-Term Results of PROSPERA in Health
title_short Intergenerational Social Mobility Based on the Investments in Human Capital : Evidence of the Long-Term Results of PROSPERA in Health
title_full Intergenerational Social Mobility Based on the Investments in Human Capital : Evidence of the Long-Term Results of PROSPERA in Health
title_fullStr Intergenerational Social Mobility Based on the Investments in Human Capital : Evidence of the Long-Term Results of PROSPERA in Health
title_full_unstemmed Intergenerational Social Mobility Based on the Investments in Human Capital : Evidence of the Long-Term Results of PROSPERA in Health
title_sort intergenerational social mobility based on the investments in human capital : evidence of the long-term results of prospera in health
publisher World Bank, Washington, DC
publishDate 2019
url http://documents.worldbank.org/curated/en/380871568051845807/Intergenerational-Social-Mobility-Based-on-the-Investments-in-Human-Capital-Evidence-of-the-Long-Term-Results-of-PROSPERA-in-Health
http://hdl.handle.net/10986/32375
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