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Jalan Sosiohumaniora 1 Bulaksumur, Yogyakarta, Indonesia, This is based on the idea that households' resources in mothers' hand are more beneficial for her kids relative to the father. The notion is applied by the governments from developing countries into cash transfers' policy. These facts give us further questions whether mothers' income obtained from transfers are different in influencing child development from income obtained from labor market.
If the effects are the same between them, then an increase in married womens' employment will also result in an increase of child development. It implies that giving more opportunity to women will also give the child opportunity to be better developed. But in fact, the development issues, especially education does not stop there. In developing countries, resources to finance public expenditure are limited relative to the developed countries.
Whereas, these countries relatively have more development tasks to accomplish. So, this limited resource should be utilized to maximum beneficial of the country. This is also including education expenditure. Many programs have been made to increase households' welfare via child education that targeted poor families. But, poor families tend to allocate their income to primary needs rather than long-term investment, such as child education.
Fernandez, ; Johnson, ; Park, Yet their productivity in developing countries still inhibited by many kind of job restrictions, such as prohibited from working at night and limited paternity leave, which will limit fathers' share of child care responsibilities within household World Bank, Although gaps in educational attainment between men and women has greatly decreased, gender gap in labor force participation does not follow.
It is widening and will remain wide in the future ILO, ILO data also shows that unemployment rates among women are relatively higher than men. We find that many research has been mainly only on the impact of mothers' employment or mothers' bargaining power on child outcomes. This paper examines the effect of mothers' employment and also mothers' power on education expenditure of the children.
We use the case in Indonesia as our focus in this research. As an emerging country, Indonesia shows the decreasing in womens' labor force participation rate. In , the labor force participation rate of women was These numbers are more than 30 percentage points below labor force participation rate of men and widening across years.
This shows that education is one of the top priority in Indonesia. Certain policies have been made by the government to increase educational attainment among students over years, such as year compulsory education programme, Bantuan Operasional Sekolah School Operational Assistance Grant that launched in , Bantuan Siswa Miskin Poor Students Assistance Programme , and Program Keluarga Harapan Conditional Cash Transfer Programme.
Despite all the policies that been made for better education and equity in Indonesia, educational attainment remains low. This phenomenon denotes possible ineffectiveness from the policies execution. Furthermore, these policies give limited consideration to the notion about mother as the key to child development. Many studies measure the effect of women power directly to childs' development and purchasing for certain goods in developing countries.
Study in China rural area use women power measured by head of household status. Women become powerful when women become head of household. The increase in women controlling power within household increase childs' health status especially for daughter. Female household also have preference to spend more in durable goods purchasing LIU, Another study in developing countries have similar finding. Women power, not only measured by household status or power got from job. Some studies use mother education as women power proxy.
The effect of mother educational attainment also has significant effect on child nutrition. In other hand, there is no effect of women power on cognitive skill in case Chilean mother. Before controlling socio-economic status and demographic characteristics, there is positive significant effect between women involvement in labor market and childs' cognitive skill for mother who spent their time on job.
Other studies found that additional resources to the families managed by mother as the decision-maker are tend to be spent on childs' capital Rangel, ; Duflo, Women power is affected by women involvement in labor market, and it also affect human capital investment. Study for Mexican manufacturing household analyze women opportunity in job market and its impact on women power and human capital accumulation within household.
Women power is measured by who are have power to determine household decision in certain goods. The study shows that an increase in women opportunity significantly increases women power and household expenditure for childs' medicine and clothing. Women power is measured by number of jobs available for women relative to men. Increase in women participation in workforce also affect childs' health outcome, but only for daughters Majlesi, The effect of women power not only exist when mother enter job market, but also from non-labor income.
Brazils' Bolsa Familia programme increase women role in households' decision-making process, although the effect is only appeared for urban households. This finding also supported with findings in Mexican Progresa. Female specific income also affect children related good expenditures Bobonis, These imply the importance of mothers' role in the household as well as her employment on the decisions that will affect childrens' well-being in developing countries, not exception Indonesia, which become our main focus.
Furthermore, this gave us an insight that empower women through employment and increase women related income is important. Specific to schooling expenditure, study in urban China show that increase in overall household income disproportionally rise education spending.
Women participation in labor market also affect household education behaviour. In India, mother involvement in job increase homework and investment for academic purposes.
Study about women power also had done in Indonesia. Using IFLS 3, 4, and 5, the study observes the effect of women control to education spending. In the case when households' decisions are determined together, education spending is increase rather than only one-sided decision.
An increase in women power measured by increase in relative income of mother, increase education expenditure A. This study measures the relative income of mother, but not measures the cutoff between working mother and non-working mother, so it cannot show the important of women entering job market.
This study contributes to the effects of women involvement in labor market on household education related expenditure spending. This study also contributes to check whether working mother are matters in type of women involvement in schooling decision setting. Then we check this effect with the setting of developing countries. Our empirical result shows that working mothers only have positive and significant impact on education expenditure if the mother have power to control for education expenditure of their children.
Our findings also imply that having mother participates in labor market will change households' expenditure pattern to spend more on education. This effect only significant when mother has role in schooling decision.
Also, the effect is larger for more educated families. Indonesia Family Life Survey Data is panel data that allow us to identify household's behaviour over time. IFLS was conducted in late of each year and the early of next survey year. We use these datasets because they give us detail information about household characteristics, spending patterns and the most important intra-household decision making process for schooling. Intra-household decision making data does not appear in every survey conducted in Indonesia, and IFLS become one of survey that gives us detail information about household decision making process.
We also restrict to use IFLS 4 and 5 only because these datasets will give us the biggest number of household. This programme gives school assistance to finance school operational cost that lead to decrease in school administration fee. Before this era, school are free to charge many administration fees to student, that directly increase cost of attending school.
Using these data, we get households' education spending as outcome and mother job and mother involvement in schooling decision as independent variables. We also derive household characteristic data consist of households' farm land ownership, mothers' age, fathers' income, household's living area, number of working people, number of schooling children, number of household's member, gender of head of household, income per-capita, and ethnicity marriage. We also collect father and mother educational attainment and mother working status.
Mother definition is someone who are being head of household and have female gender or spouse of male head of household. Father is defined as male who are being head of household or spouse of female head of household.
We cannot use mother and father in detail per child because there is no information about main families' expenditure in specific for all observation, there is just information about extended families' expenditure whose definition is a group of people live from same kitchen. We restrict sample for our estimation.
From initial 15, households, we get 6, households for our observation. First, we exclude households whose do not have spending patterns information. Second, we keep complete household information about mother job and mother involvement in schooling decision. Third, we drop household whose cannot provide household characteristics detail including households' farm land ownership, household's living area, number of working people, number of schooling children, number of household's member, gender of head of household, mothers' education, fathers' education, fathers' income, ethnicity marriage, and income per-capita.
Next, we keep households who have no missing data for mother and father characteristics. Then, we drop only one time appeared households in survey year to obtain balance panel data. Estimation Strategy This study develops econometrics model to estimate the relationship between mother working status and household education spending.
We use mother working status and mother influence in households' schooling decision. We estimate this relationship using this model: Year fixed effects, province fixed effects, and interaction between year and province effects also used in our estimation.
We use share of education spending as proxy of education spending. It allows us to get better estimation rather than use log of expenditure.
Log expenditure can explain us how working mother can increase or decrease the human capital investment but cannot measure the change of behaviour.
Mother can invest more in education because she works, but it is not guarantee that she prioritizes human capital investment. Mother can use the money to increase all of expenditure post. This increase cannot capture the mothers' behaviour to invest more in education. By using share of education expenditure, we can capture this behaviour.