it is in word

£ True

£ False

vi.

Question 2: Multiple choice [15 points]

b) Overstated the effect of deworming on educational outcomes (made it seem more effective than it really was)

c) Were biased, but the direction of bias is unclear

d) Provided unbiased estimates of the effect of deworming on educational outcomes

e) It is not possible to say.

a) Meat

b) Fish

c) Chocolate

d) Rice

e) All of the above

iii. Based on the evidence we saw in class, which of the following policies or programs have been successful at improving school enrollment?

a) Providing cash to families who enroll their children in school

b) Providing cash to families with no strings attached

c) Providing information about job opportunities for educated people

d) a) and b)

e) a) and c)

iv. In class and in the reading, we saw good evidence for a nutrition-based poverty trap in which of the following areas?

a) Adults experiencing extreme undernutrition (insufficient calories) in Indonesia

b) Floriculture workers who received extra meals in Ethiopia

c) Children experiencing micronutrient deficiency in Kenya

d) Poor households consuming rice and wheat in China

e) All of the above

v. What has been the main cause of famine in the current century?

a) Insufficient global food production

b) Conflict and war

c) Government corruption and elite capture of resources

d) The poor choosing not to buy food

e) All of the above

Question 3 [10 points]

1. Please define a poverty trap. (2)

a)

b)

c)

d)

3. In class, we discussed an example of how adult undernutrition could create an “S-shaped” relationship between poor laborers’ income today and work hours tomorrow. Describe one other example of how we could see an S-shaped relationship between income today and income, work hours, or work capacity in the future (for example, related to child nutrition, education investments, or agriculture). (4)

Question 4 [20 points]

The below questions are based on Jensen (2012), “Do Labor Market Opportunities Affect Young Women’s Work and Family Decisions?” which studies the impact of informing young women in rural India about new job opportunities in the business process outsourcing (BPO) sector.

ii. The study tests the human capital model because the intervention changes people’s beliefs about one of the variables in the expression above. Which variable is this? (2)

iii. The study found that, in treatment villages, girls aged 6-17 were more likely to be enrolled in school, even though the intervention targeted young women aged 18-24. Is this result consistent with the human capital model? Why or why not? (4)

iv. Imagine a program similar to the one in the study, where recruiters came to villages to inform young women about labor market opportunities. However, suppose this program focuses on agricultural day labor rather than call center jobs. How do you think this program would affect whether young girls are enrolled in school? Explain why, using the human capital model. (5)

v. Now imagine that the village was exposed to a disease epidemic primarily affecting people in their 20s and 30s. How do you think this program would affect whether young girls are enrolled in school? Explain why, again using the human capital model. (5)

Question 5 [20 points]

Between 2010 and 2015, a government rolls out a school lunch program to different schools. Suppose you are the lead researcher on an impact evaluation of the new schools. You are given the table below. The number in each cell is the average weight in pounds for 8 year olds.

ii. Provide one specific and concrete reason that this a poor estimate of the impact of the program. (4)

Fortunately, you are able to obtain additional data from 2009, before the lunch program started were built:

Average weight of 8 year olds:

iii. Is this new data consistent with the problem you identified in (ii)? Why or why not? (4)

iv. Compute the Difference-in-Differences estimate of the effect of the school building program schooling attainment. (4)

v. Now, suppose you learn that in some regions, children who live on the border of two school districts were randomly chosen to go to either a school that got the new program, or a school that didn’t. You are able to obtain data on these children as follows. Use these data to calculate your best estimate of the impact of the school lunch program. (4)

vi. Explain why you calculated the impact the way that you did. (2)

Question 6: Short Answer [10 points each]

Answer only TWO of the following questions. If you answer more than two, only the first two will be graded. Each answer should be about 5 sentences.

a) Jensen and Miller randomize the prices of staple foods in China. They find that when they reduce prices, demand for staple foods decreases, and in fact total calories consumed also decrease. Explain what this implies about the income elasticity of demand for calories. Then, explain whether this is consistent or inconsistent with the idea of a nutrition-based poverty trap. A complete answer will include a discussion of why Giffen goods violate the law of demand.

c) Carter, Laajaj and Yang, studied temporary agricultural input subsidies to improve farmers' productivity. Briefly summarize the key elements of the program and the results of the evaluation. Then, discuss whether the results are consistent or inconsistent with the idea of a poverty trap and justify your answer.

d) What is the “transportation problem” in randomized controlled trials and related methods? Explain in detail. Then, discuss how it affects our interpretation of the results of the studies we have learned about in class.

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