TY - RPRT AU - Camacho, Carmen AU - Shen, I-Ling TI - Public Education for the Children Left Behind PY - 2010/Mar/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 4833 UR - https://www.iza.org/publications/dp4833 AB - This paper examines the role of public education in the context of parental migration, and it studies the effects of an expansive income tax policy that is adopted to increase public education expenditure per pupil. It is shown that such a policy may exacerbate income inequality in the long run if for the less skilled dynasties, the benefits of more public spending on education does not make up for the negative effects of increased parental absences. However, if the migration-induced tax base erosion is not severe, an expansive income tax policy indeed enhances future human capital for all dynasties, and moreover, it may help the less skilled households escape from the poverty trap, thus reducing long-run income inequality. KW - human capital KW - income inequality KW - parental migration KW - public education expenditure KW - tax base erosion ER -