Abstract

ABSTRACT Are parental inputs complements or substitutes to education quality? Using variation induced by identification into a gifted and talented (GT) program, I find no aggregate effects on parental behavior as a result of their child's access to a higher quality education. However, there are heterogeneous effects. Non-minority parents decrease engagement but increase tutoring. Minority and low-income parents increase engagement and increase both tutoring and in-home homework help. Results suggest that parental investments are not necessarily a strict complement or substitute but is nuanced dependent on demographic factors. I provide suggestive evidence that the primary mechanism is parental beliefs.

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