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Duryea, Suzanne, and Melisa Morales. 2011. "Effects of the Global Financial Crisis on Children’s School and Employment Outcomes in El Salvador." Development and Policy Review, 29(5): 527-546.
Central America has been one of the regions hardest hit by the global financial crisis. This article analyses the short-run effects of the crisis on children's schooling and employment outcomes in El Salvador, exploiting repeated cross-sectional samples of the annual household survey for the period 2000-8. It reveals that this early phase of the financial crisis has decreased school attendance for girls and boys aged 10-16 and increased child employment for boys of the same age range, and also shifted attendance towards public schools. A falsification test demonstrates that a placebo, or 'false crisis' defined as second semester 2007, does not have the same adverse impacts on children's outcomes as the manifested crisis.
Country of focus: El Salvador.