American Economic Journal:
Economic Policy
ISSN 1945-7731 (Print) | ISSN 1945-774X (Online)
Moved to Poverty? A Legacy of the Apartheid Experiment in South Africa
American Economic Journal: Economic Policy
vol. 15,
no. 4, November 2023
(pp. 183–221)
Abstract
During the South African apartheid, Black people were forced to move to homelands during the 1960s and 1970s, resulting in one of history's largest segregation policy experiments. We examine how and why relocation to the homelands affected human capital attainment. Exploiting the staggered timing of homeland establishment in a cross-cohort identification strategy, we find that moving to the homelands during childhood significantly reduces educational attainment, labor earnings, and employment rates in adulthood. The data suggest an important role for place effects. Moving to the homelands in childhood implies greater exposure to poorer neighborhoods, and it disproportionally reduces human capital attainment.Citation
Carrillo, Bladimir, Carlos Charris, and Wilman Iglesias. 2023. "Moved to Poverty? A Legacy of the Apartheid Experiment in South Africa." American Economic Journal: Economic Policy, 15 (4): 183–221. DOI: 10.1257/pol.20210439Additional Materials
JEL Classification
- I26 Returns to Education
- J15 Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
- J24 Human Capital; Skills; Occupational Choice; Labor Productivity
- J31 Wage Level and Structure; Wage Differentials
- N37 Economic History: Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy: Africa; Oceania
- O15 Economic Development: Human Resources; Human Development; Income Distribution; Migration
- R23 Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
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