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Compulsory Schooling Laws and the Cure for Child Labour

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  • Giorgio Bellettini
  • Carlotta Berti Ceroni

Abstract

This paper provides an explanation for the existence of child labour which relies on the imperfect enforcement of compulsory schooling laws. In the presence of complementarities in the production of human capital that justify legislative intervention, mandatory measures ensure that coordination failures are solved so that all parents send their children to school and the socially optimal equilibrium is reached. However, if enforcement of legislation is too low, multiple equilibria emerge. In this case, compulsory schooling laws may have adverse welfare effects on all households. Copyright Blackwell Publishers Ltd and the Board of Trustees of the Bulletin of Economic Research, 2004.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Bulletin of Economic Research.

Volume (Year): 56 (2004)
Issue (Month): 3 (07)
Pages: 227-239

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Handle: RePEc:bla:buecrs:v:56:y:2004:i:3:p:227-239

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Cited by:
  1. G. Bellettini & C. Berti Ceroni & G. Ottaviano, 2003. "Child Labor and Resistance to Change," Working Papers 474, Dipartimento Scienze Economiche, Universita' di Bologna.
  2. Damien Murphy, 2008. "Eliminating Child Labour Through Education: The Potential for Replicating the Work of the MV Foundation in India," Working Papers id:1746, eSocialSciences.

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