TY  - RPRT
        AU  - Boca, Daniela Del
AU  - Flinn, Christopher
AU  - Verriest, Ewout
AU  - Wiswall, Matthew
        TI  - Parenting with Patience: Parental Incentives and Child Development
        PY  - 2023/Sep/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 16441
        UR  - https://www.iza.org/publications/dp16441
        AB  - We construct a dynamic model of child development where forward-looking parents and children jointly take actions to increase the child's cognitive and non-cognitive skills within a Markov Perfect Equilibrium framework. In addition to time and money investments in their child, parents also choose whether to use explicit incentives to increase the child's self-investment, which may reduce the child's future intrinsic motivation to invest by reducing the child's discount factor. We use the estimated model parameters to show that the use of extrinsic motivation has large costs in terms of the child's future incentives to invest in themselves.
        KW  - time allocation
KW  - child development
KW  - parenting styles
        ER  -