This study estimates the returns to boys’ education for rural Bangladeshi
households by accounting for some conventionally neglected items: direct costs of education,
foregone child labour earnings, and option value. The estimated returns are 13.5%
for primary education, 7.8% for junior-secondary education, 12.9% for higher-secondary
education, and 9.7% for higher education; the resulting option value from primary education
is 5.3%. These results suggest that there is economic rationale for non-poor rural
households to invest in boys’ education, especially at the primary level.