The Impact of a Senior High School Tuition Relief Program on Poor Junior High School Students in Rural China

Abstract

A significant gap remains between rural and urban students in the rate of admission to senior high school. One reason for this gap may be high tuition and other school fees at the senior high school level. By reducing student expectations of attending high school, high tuition and school fees can reduce student academic performance in junior high school. In this paper we evaluate the impact of a senior high tuition relief program on the test scores of poor, rural seventh grade students in China. We surveyed three counties in Shaanxi Province and exploit the fact that, while the counties are adjacent to one another and share similar characteristics, only one of the three implemented a tuition relief program. Using several alternative estimation strategies, including difference-indifferences (DD), difference-indifference-indifferences (DDD), propensity score matching (PSM) and difference-indifferences matching (DDM), we find that the tuition program has a statistically significant and positive impact on the math scores of seventh grade students. More importantly, this program is shown to have the largest (and only significant) impact on the poorest students.

Trapped in Agriculture? Credit Constraints, Investments in Education and Agricultural Employment

“…Recent studies on how investment in education is crucial in reducing rural-urban income differences, and in enhancing (non-farm) income prospects of farmers' children in rural China, are consistent with our arguments (Chen et al, 2013;Zhang et al, 2013).…”