On the design of education conditional cash transfer programs and non education outcomes: the case of teenage pregnancy

We investigate the effect of education Conditional Cash Transfer programs (CCTs) on teenage pregnancy. Our main concern is with how the size and sign of the effect may depend on the design of the program. Using a simple model we show that an education CCT that conditions renewal on school performance reduces teenage pregnancy; the program can increase teenage pregnancy if it does not condition on school performance. Then, using an original data base, we estimate the causal impact on teenage pregnancy of two education CCTs implemented in Bogot´a (Subsidio Educativo, SE, and Familias en Acci´on, FA); both programs differ particularly on whether school success is a condition for renewal or not. We show that SE has negative average effect on teenage pregnancy while FA has a null average effect. We also find that SE has either null or no effect for adolescents in all age and grade groups while FA has positive, null or negative effects for adolescents in different age and grade groups. Since SE conditions renewal on school success and FA does not, we can argue that the empirical results are consistent with the predictions of our model and that conditioning renewal of the subsidy on school success crucially determines the effect of the subsidy on teenage pregnancy

Inequality of opportunity in educational achievement in Latin America: evidence from PISA 2006-2009

We assess inequality of opportunity in educational achievement in six Latin American countries, employing two waves of PISA data (2006 and 2009). By means of a non-parametric approach using a decomposable inequality index, GE(0), we rank countries according to their degree of inequality of opportunity. We work with alternative characterizations of types: school type (public or private), gender, parental education, and combinations of those variables. We calculate incremental contributions of each set of circumstances to inequality. We provide rankings of countries based on unconditional inequalities (using conventional indices) and on conditional inequalities (EOp indices), and the two sets of rankings do not always coincide. Inequality of opportunities range from less than 1% to up to 27%, with substantial heterogeneity according to the year, the country, the subject and the specificication of circumstances. Robustness checks based on bootstrap and the use of an alternative index confirm most of the initial results.