Girls lag markedly behind boys in education in many developing countri
es, which may slow economic growth and increase inequity. This paper u
ses indicators of the output of the education production process, cogn
itive skills, to characterize and to investigate the determinants of t
he large educational gender gap in rural Pakistan. Local school availa
bility accounts for about a third of the total cognitive achievement g
ender gap and over two-fifths of that in numeracy, which implies that
policies that increased local school availability for girls could redu
ce substantially the gender gaps in cognitive skills. To further reduc
e these gender gaps will require policies that focus on the demand sid
e of the market, where, our results suggest, the response to modest ch
anges in incentives may be high.