Education and Road Connectivity: Empirical Evidence from Tanzania
Road access has been proven to open opportunities in reaching new or diversified employment activities that generally generate more revenues. At the same time, receiving education provides specific skills valuable to enter in these activities. Using the Kagera Health and Development Surveys (KHDS) the paper discusses the determinants of per capita consumption growth between 1991 and 2004 in Tanzania. The objective is to assess the impact of road connectivity improvements on distribution earnings according to education.
The results show that the distribution of earnings in the Kagera region moved in favor to those that achieved a post-primary level of educated in communities as long as road connectivity did not deteriorate sharply. The results call for a cautious and joint design of roads and education investments. Roads impacts may be underestimated (resp. overestimated) if investments are implemented in very low (resp. high) education attainment regions.