Getting Low-Income Adolescents Back to School: The Returns to Secondary School Equivalency

The option to obtain secondary school equivalency by passing the national exit exam is a common policy in many low- and middle-income countries, and accounts for a significant share of the education sector. As COVID-19 disrupts traditional education, we may expect such pathways back to formal education and educational equivalencies will become even more relevant and a key policy component of academic recovery. However, the price for this alternative pathway may be a significant barrier, especially for girls. In addition, despite broad support for the policy, empirical evidence on the return to such secondary school equivalency is lacking. Our proposal targets low-income, out-of-school young adults, and randomly assigns scholarships (i.e., price subsidies) to attend alternative education centers that prepare individuals to pass the Tanzanian secondary school exit exam and obtain their secondary school equivalency. Our proposal is designed to answer the following: Does price inhibit demand for secondary school equivalency? What is the return to secondary school equivalency on continued education, labor market and marital outcomes? Does access and returns differ for girls, thereby reducing gender gaps? These questions directly explore a key policy for academic recovery and reentry into the formal education system among disadvantaged students, with particular attention to girls.