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Commodity Price Shocks and Child Outcomes: The 1990 Cocoa Crisis in Côte d’Ivoire

Cogneau, Denis; Jedwab, Rémi (2012), Commodity Price Shocks and Child Outcomes: The 1990 Cocoa Crisis in Côte d’Ivoire, Economic Development and Cultural Change, 60, 3, p. 507-534. 10.1086/664017

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Type
Article accepté pour publication ou publié
Date
2012
Journal name
Economic Development and Cultural Change
Volume
60
Number
3
Publisher
University of Chicago Press
Pages
507-534
Publication identifier
10.1086/664017
Metadata
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Author(s)
Cogneau, Denis cc
Institut de Recherche pour le Développement (IRD)
Jedwab, Rémi
Paris-Jourdan Sciences Economiques [PJSE]
Abstract (EN)
We look at the drastic cut of the administered cocoa producer price in 1990 Côte d'Ivoire and study to which extent cocoa producers' children su®ered from this severe aggregate shock in terms of school enrollment, labor, height stature and morbidity. Using pre-crisis (1985-88) and post- crisis (1993) data, we propose a di®erence-in-di®erence strategy to identify the causal e®ect of the cocoa shock on child outcomes, whereby we compare children of cocoa-producing households and children of other farmers living in the same district or the same village. This causal e®ect is shown to be rather strong for the four child outcomes we examine. Hence human capital investments are de¯nitely procyclical in this context. We also argue that the di®erence-in-di®erence variations can be interpreted as private income e®ects, likely to derive from tight liquidity constraints.
Subjects / Keywords
Education; Health; Commodity prices; Child Labor; Agriculture; Africa
JEL
I12 - Health Behavior
I21 - Analysis of Education
O12 - Microeconomic Analyses of Economic Development

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