# 12-074/3 (2012-07-19)

Author(s)
Jose Rosero, University of Amsterdam
Keywords:
Housing assistance programs, Housing voucher, Children, Fixed Effects, Within family estimators, Developing country, Ecuador
JEL codes:
H53, I28, I38, R21

This paper examines the effect of a housing assistance program on school enrollment, child labor and poverty reduction among poor families in Ecuador. Administrative data is merged to a household panel to link the history of a voucher application with socioeconomic information. Two empirical approaches are employed. First, I exploit variation in duration of the different stages to obtain a voucher and convert it into a house, using a sample of approved applicants. Second, I use variation across siblings that arises from the fact that siblings are exposed to the program at different ages. Results show that the program improves enrollment into post-compulsory education, decreases the probability that a child participates in the labor market and reduces the likelihood to live in poverty. Potential mediating factors are increased access to sanitation, better quality materials of the house and a reduced probability to live overcrowded.