Journal
ENVIRONMENT AND DEVELOPMENT ECONOMICS
Volume 24, Issue 4, Pages 413-436Publisher
CAMBRIDGE UNIV PRESS
DOI: 10.1017/S1355770X19000123
Keywords
climate change; drought; education; human capital
Categories
Funding
- IFPRI
- CCAFS (CGIAR Research Program on Climate Change, Agriculture and Food Security)
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We study the impact of a severe drought on children's educational outcomes in rural Maharashtra, a state in central India. Using pooled cross section data on children's test scores, we employ a difference-in-differences methodology to estimate the impact. We find that the drought caused a decline of 4.14 per cent in math scores and 2.67 per cent in reading scores of affected children. We also study heterogeneity in the impact by gender, age, parents' schooling, and household wealth, finding evidence in support of an income effect whereby households with limited means to smooth consumption disinvest in their children in response to the drought.
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