Abstract
Using data from the China Education Panel Survey (CEPS) during the 2013–2014 academic year, this paper examines the effects of family poverty on adolescents’ cognitive and noncognitive outcomes. We find that family poverty is detrimental to adolescent development. Children from poor families have poorer academic performance and noncognitive abilities. We also find that the negative effects of family poverty are more pronounced among children with urban hukou, boys, and children from one-child families. Furthermore, we find that there are multiple channels behind the estimated effects, including parental educational expectations, parental education investments, and parent-child relationship. This paper opens up the “black box” of family poverty affecting children’s development, which can provide reference for governments to design measures aimed at eliminating poverty trap.
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