Relative Deprivation and School Enrolment: Evidence from Mexico

Using a large dataset (2.9 million households), we provide solid evidence of relative deprivation as being a negative correlate of school enrolment in Mexico, absolute standard of living being controlled for. This result is robust to a number of specifications, and to the use of linear and less than linear indices of relative deprivation. In addition, we find that marginal effects of relative deprivation are stronger at higher standards of living and for older children.