Abstract

Parents with a special social status generate spillover effects to other parents and children. Because cadres (government officials) in China have a broad influence on resource allocation, their presence elicits responses from surrounding parents and students. Exploiting random classroom assignments in Chinese middle schools, we find that increased exposure to classmates' cadre parents raises parents' attention to their children's friendships and guidance over schoolwork. We also find evidence suggesting that parental changes raise the child's test scores. The findings highlight parental adjustments as a mediator of the external influence of peer parents on children.

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