Impact of household educational expenditures on the test scores of children

With the aim of investigating the effects of household educational expenditures on the test scores of children, I construct an instrumental variable for the endogenous household educational expenditures by taking advantage of the educational fee reduction reform in China. I do not find any significant effects of household educational expenditures on the test scores of children. I also do not find any significant effects for households with income per capita in the top or bottom 50 percentile in the village.