International Migration and the Education of Children: Evidence from Lima, Peru

The issue of whether emigration has consequences for the education of children who remain behind in the country of origin occupies an increasingly prominent place in the agendas of both scholars and policy makers. The conventional wisdom is that the emigration of family members may benefit children by relaxing budget constraints through remittances that can be used to cover educational expenses. However, the empirical evidence on the overall effect of migration is inconclusive. This is due in part to a substantive emphasis on remittances in the literature, as well as the inability of some studies to deal satisfactorily with the endogeneity of household migration decisions in comparing outcomes across migrant and non-migrant households. Using Peruvian data from the Latin American Migration Project (LAMP), we apply an innovative instrumental variable technique to evaluate the overall effect of migration on educational attainment and schooling disruption among the children of immigrants. In contrast to conventional wisdom, our results suggest that a higher household risk of immigration has deleterious consequences for the education of children who remain behind.