Template-Type: ReDIF-Paper 1.0 Author-Name: Grimm, M. Author-Name-Last: Grimm Author-Name-First: Michael Author-Person: pgr74 Title: Food price inflation and children's schooling Abstract: I analyze the impact of food price inflation on parental decisions to send their children to school. Moreover, I use the fact that food crop farmers and cotton farmers were exposed differently to that shock to estimate the income elasticity of school enrolment. The results suggest that the shock-induced loss in purchasing power had an immediate effect on enrolment rates. Instrumental variable estimates show that the effect of household income on children's school enrolment is much larger than a simple OLS regression would suggest. Hence, policies to expand education in Sub-Saharan Africa should not neglect the demand side. Creation-Date: 2009-04-01 File-URL: https://repub.eur.nl/pub/18721/wp472.pdf File-Format: application/pdf Series: RePEc:ems:euriss Classification-JEL: I21, O12, Q12 Keywords: Africa., aggregate shocks, education, household income, inflation Handle: RePEc:ems:euriss:18721