Does Child Labor Decrease When Parental Incomes Rise?

Rogers, Carol Ann; Swinnerton, Kenneth A.

doi:10.1086/421175

Cited by 61 publications

(27 citation statements)

References 9 publications

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“…This result follows from studies where child labor is a bad in parental preferences such asBasu and Van (1998),Baland and Robinson (2000),Ranjan (2001), andBommier and Dubios (2003) Rogers and Swinnerton (2003). point out that rising incomes can increase child labor if credit market imperfections induce parents to over-invest in education as a way of securing income for parents in the future (via transfers from children).…”

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confidence: 78%

Does Child Labor Decline with Improving Economic Status?

Edmonds¹

2003

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From 1993 to 1997, GDP per capita in Vietnam grew by between 6 and 7 percent annually. Child labor declined by 28 percent over this period. Using a simple, nonparametric decomposition, I investigate the relationship between improvements in per capita expenditure and child labor with a panel dataset of Vietnamese households that spans this episode of growth. I find that improvements in per capita expenditure can explain 80 percent of the decline in child labor that occurs in households whose expenditures improve enough to move out of poverty. This finding suggests a previously undocumented role for economic growth in the amelioration of child labor.

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confidence: 78%

Does Child Labor Decline with Improving Economic Status?

Edmonds¹

2003

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“…The earlier literature explains that this may arise due to differential effects of pure income changes and substitution (Soares et al 2012). Positive changes in full household income are expected to increase the demand for schooling and reduce child labour (Bourguignon et al 2003;Cardoso and de Souza 2009;Edmonds 2005), whereas the substitution effect due to, for example, short-term fluctuations in wages, income, or economic growth can increase the opportunity cost of children's time and lead to increased child labour (Duryea and Arends-Kuenning 2003;Kruger, 2007;Rogers and Swinnerton 2004;Soares et al 2012). The positive correlation between household well-being and child labour can depend on the type of activity.…”

Section: Impact Of Nfe On Child Labour and Schooling Outcomesmentioning

confidence: 99%

Entrepreneurship and human capital development in children

Brandt¹,

Rutasitara²,

Selejio³

et al. 2017

WIDER Working Paper

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This paper explores the link between entrepreneurship and child human capital development. We specifically examine how operating a non-farm enterprise (NFE) as opposed to working in agriculture relates to child labour and schooling outcomes. Accounting for timeinvariant unobservable characteristics in an estimation with individual fixed effects, we find a negative correlation between NFE ownership and child labour, especially in households with relatively higher levels of consumption expenditure. We find differentiated impacts by child gender and the type of enterprise: a lower incidence of child labour for boys and NFEs without employees and a lower incidence of child labour for girls and NFEs that hire at least one employee. Fatherowned NFEs correlate negatively with child labour for boys, both at the extensive and at the intensive margin, and positively with a higher likelihood for school attendance for girls. Given these findings, it appears that household entrepreneurship may contribute to decreasing the severe child labour problem in Tanzania, but resolving the problem of low school attendance rates will require a different strategy.

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“…However, even altruistic parents may send their children to work in the face of poverty or credit constraints. Rogers and Swinnerton (2004) modify the model in Baland and Robinson (2000) and show that when both parents and children are altruistic, the relationship between parental income and child labour may exhibit an inverted-U shape. This is because at low levels of parental income, parents may be dependent on transfers from their adult children.…”

Section: Parental Characteristicsmentioning

confidence: 99%

Child Labour: A Review of Recent Theory and Evidence With Policy Implications

Fors

2010

Journal of Economic Surveys

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In recent years, a growing number of authors have turned their attention to the question of why children work. The purpose of this paper is to review some of the more recent theoretical and empirical research into the topic of child labour, and to illustrate the fact that no one factor on its own can account for the phenomenon of child labour. Therefore, policies aimed at eradicating child labour will need to address the broad range of underlying factors that contribute to the incidence of child labour, such as poverty, market imperfections and access to education.

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Does Child Labor Decrease When Parental Incomes Rise?

Cited by 61 publications

References 9 publications

Does Child Labor Decline with Improving Economic Status?

Does Child Labor Decline with Improving Economic Status?

Entrepreneurship and human capital development in children

Child Labour: A Review of Recent Theory and Evidence With Policy Implications

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