Child Monetary Poverty and Multidimensional Deprivations: Why They Differ
CRREP Working Paper Series 2018-01
49 Pages Posted: 20 May 2018 Last revised: 16 Jul 2018
Date Written: February 1, 2018
We analyze the causal effect of parental education on the potential mismatch between child monetary poverty and multidimensional deprivations. First, in a simple model of parental investment in child outcomes, we demonstrate that the misalignment between household monetary resources and parental education causes a mismatch. Indeed, a match between poverty and deprivation occurs whenever household consumption expenditure and parental education are correlated. Second, using micro-level data from Tanzania, we find that parental education has a negative effect on the probability that a monetarily non-poor child suffers some basic deprivations, and a positive effect on the likelihood that a monetarily poor child suffers no basic deprivations.
Keywords: Monetary Child Poverty, Child Deprivations, Maternal Education, Heckman Selection Model
JEL Classification: I32, J13, O12
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