Co-author(s): Gustavo Yamada, Oswaldo Molina

Presented in: 2018 Annual Congress of the Peruvian Economic Association

Abstract: This paper studies the impact of the mining boom on the interruption of post-secondary studies during the period 2004-2016 in Peru. To do so, we rely on a differences-in-difference strategy. We show that the mining boom had a positive impact on the probability of interruption. In contrast with previous studies, we find that our results are mainly driven by a decrease in the return to higher education relative to high-school education. Other mechanisms that may be playing a minor role is the health status of young individuals and the labor reallocation that occurs within households.