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Tag Archives: Indonesia
Measuring the Long-term Effects of Orphanhood
By Nicholas Thomas Gardner
This paper works towards developing the narrative of orphans whose parent or parents died from natural disaster. By taking advantage of the unanticipated nature of death from the 2004
Indonesian tsunami, orphanhood can be treated as much closer to random than similar literature using data centered on HIV/AIDS related deaths. We use a community level fixed effects model to attempt to derive a causal relationship between orphanhood and both education and log wages. Our models suggest that orphaned males aged 14 and older at baseline complete 1-2 fewer years of education than their cohorts. The adverse effects persist in the long-term, as these orphans earn 26% less than non-orphan cohorts.
Advisors: Duncan Thomas and Kent Kimbrough | JEL Codes: I24, I25, I31, J24, J31
24K Magic: Evidence on Maternal Asset Ownership and Children’s Long Term Outcomes in Indonesia
By Maya Durvasula
Household resource allocation in response to economic shocks is of central importance for policy makers, especially given widely documented evidence of gender biases. In this paper, I exploit a
plausibly exogenous shock to maternal asset holdings in Indonesia to examine gender biases in resource allocation in the wake of the 1998 East Asian Financial Crisis. Using insights from
anthropology, I separate assets in the hands of women from those controlled by men and interpret findings in the context of a household decision-making framework that allows preferences of parents to differ. Taking household-specific heterogeneity into account with fixed effects, I find significant evidence of efforts to shield male children from the effects of the crisis in both contemporaneous educational attainment and longer-term labor market outcomes, a remarkable trend given minimal evidence of a pro-son bias in Indonesia prior to the crisis. Finally, inferring preferences from maternal resource allocation, I find suggestive evidence of an old age security motive in women’s investment decisions.
Advisor: Duncan Thomas | JEL Codes: D13, I0, J13, J16