Cash Transfers, Growth Mindsets, and Student Learning

Demand-side interventions have proved effective at increasing education participation in developing countries, including for marginalized subgroups. However, there is less evidence showing that these classes of interventions improve learning outcomes. We study the separate and interaction effects on learning outcomes of two prominent demand-side policies. We cross-randomize large unconditional cash transfers and a hybrid behavioral intervention with adults that uses growth mindsets and goal-setting to increase investment behavior, including investment in their children's education. In line with the J-PAL PPE priorities, we study a sample of poor rural households in Western Kenya, focus on student motivation/effort, and examine heterogeneity by gender. We measure student learning using numeracy and literacy assessments developed and validated by the Uwezo Initiative. Our findings can directly cash transfer programme design as our behavioral interventions can be easily and cheaply adapted to new settings and scaled.