This text seeks to estimate the indirect effect of the Bono de Desarrollo Humano (BDH) on income generation in Ecuador, that is, it seeks to analyse the behaviour of BDH beneficiaries in the labour market. Therefore, an econometric model was constructed in two stages. The first model corresponds to a Probit model that seeks to estimate the probability of the household to participate in the labour market, and for the second model an OLS model is used to estimate the labour effort in terms of hours worked.
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This text seeks to estimate the indirect effect of the Bono de Desarrollo Humano (BDH) on income generation in Ecuador, that is, it seeks to analyse the behaviour of BDH beneficiaries in the labour market. Therefore, an econometric model was constructed in two stages. The first model corresponds to a Probit model that seeks to estimate the probability of the household to participate in the labour market, and for the second model an OLS model is used to estimate the labour effort in terms of hours worked.
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