Conditional Cash Transfers (CCTs) have been shown to increase human capital investments, but their standard features make them expensive. We use a large randomized experiment in Morocco to estimate an alternative government-run program, a "labeled cash transfer" (LCT): a small cash transfer made to fathers of school-aged children in poor rural communities, not conditional on school attendance but explicitly labeled as an education support program. We document large gains in school participation. Adding conditionality and targeting mothers made almost no difference in our context. The program increased parents' belief that education was a worthwhile investment, a likely pathway for the results. (JEL H23, I24, 128, I38, J24, O15, O18)
Benhassine, Najy, Florencia Devoto, Esther Duflo, Pascaline Dupas, and Victor Pouliquen.
"Turning a Shove into a Nudge? A "Labeled Cash Transfer" for Education."
American Economic Journal: Economic Policy,
Taxation and Subsidies: Externalities; Redistributive Effects; Environmental Taxes and Subsidies
Education and Inequality
Education: Government Policy
Welfare, Well-Being, and Poverty: Government Programs; Provision and Effects of Welfare Programs
Human Capital; Skills; Occupational Choice; Labor Productivity
Economic Development: Human Resources; Human Development; Income Distribution; Migration
Economic Development: Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure