Template-type: ReDIF-Paper 1.0
Author-Name: Paredes Chervellini, Luciano
Author-Email: l.paredeschervellini@alumni.maastrichtuniversity.nl
Author-Workplace-Name: UNU-MERIT, Maastricht University, and ComexPeru
Author-Name: Ritzen, Jo
Author-Email: ritzen@merit.unu.edu
Author-Workplace-Name: UNU-MERIT, Maastricht University
Title: Simulating the impact of a raise in education salaries on economic growth in 
	 Peru
Abstract: A simulation shows that increasing teacher salaries is
	 likely to be (very) profitable for Peru. The required
	 investments have in the long run a substantial return in
	 economic growth as higher salaries would lead to higher
	 teacher cognitive skills, which in turn impact student
	 achievement. We suggest that international development
	 banks should develop products for education finance
	 with a long period (60 years or more) before repayments
	 must be made.
Classification-JEL: C63, H52, I25, O15, O21, O24, N36
Keywords: Education, Return over investment, Economic growth, GDP, PISA, Cognitive
	 Skills, Teachers, Development finance
Series: UNU-MERIT Working Papers
Creation-Date: 20210706
Number: 2021-029
File-URL: https://unu-merit.nl/publications/wppdf/2021/wp2021-029.pdf
File-Format: application/pdf
File-Size: 275 Kb
Handle: RePEc:unm:unumer:2021029