IDEAS home Printed from https://ideas.repec.org/a/ebl/ecbull/eb-14-00487.html
   My bibliography  Save this article

Child Labour, human capital formation and size of landholding: short run and long run analysis

Author

Listed:
  • Bidisha Chakraborty

    (JADAVPUR UNIVERSITY, INDIA)

  • Kamalika Chakraborty

    (JADAVPUR UNIVERSITY)

Abstract

This paper considers an overlapping generations model of a household economy in an agrarian set up to examine the short run as well as long run effects of increase in size of land holding on child labour, human capital formation and growth. It is assumed that each household consists of one adult and one child. The adult is employed outside agricultural sector and earns wage proportional to human capital and the child is employed in the land possessed by the household and also goes to school. The adult derives satisfaction from household consumption and human capital level of its child. Human capital accumulation of child depends on time devoted by child for schooling and financial resources invested towards education. The Parent maximizes her utility by making decision about consumption, educational investment for the child and time allocation of the child between schooling and work. It is found that in the short run, an increase in size of land holding leads to decrease in school attendance by children and increase in child labour. Moreover it is found that wage and human capital level of the parent positively influence human capital level of the child. In the long run, size of land holding shows U shaped relationship with both steady state level of human capital and growth rate of human capital.

Suggested Citation

  • Bidisha Chakraborty & Kamalika Chakraborty, 2014. "Child Labour, human capital formation and size of landholding: short run and long run analysis," Economics Bulletin, AccessEcon, vol. 34(3), pages 2024-2037.
    • Handle: RePEc:ebl:ecbull:eb-14-00487
    as

    Download full text from publisher

    File URL: http://www.accessecon.com/Pubs/EB/2014/Volume34/EB-14-V34-I3-P186.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Eric V. Edmonds, 2005. "Does Child Labor Decline with Improving Economic Status?," Journal of Human Resources, University of Wisconsin Press, vol. 40(1).
    2. Heady, Christopher, 2003. "The Effect of Child Labor on Learning Achievement," World Development, Elsevier, vol. 31(2), pages 385-398, February.
    3. Basu, Kaushik & Das, Sanghamitra & Dutta, Bhaskar, 2010. "Child labor and household wealth: Theory and empirical evidence of an inverted-U," Journal of Development Economics, Elsevier, vol. 91(1), pages 8-14, January.
    4. Mark R. Rosenzweig & Kenneth I. Wolpin, 1985. "Specific Experience, Household Structure, and Intergenerational Transfers: Farm Family Land and Labor Arrangements in Developing Countries," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 100(Supplemen), pages 961-987.
    5. Sonia Bhalotra & Christopher Heady, 2003. "Child Farm Labor: The Wealth Paradox," The World Bank Economic Review, World Bank Group, vol. 17(2), pages 197-227, December.
    6. Jayanta Sarkar & Dipanwita Sarkar, 2016. "Why Does Child Labor Persist With Declining Poverty?," Economic Inquiry, Western Economic Association International, vol. 54(1), pages 139-158, January.
    7. C. Simon Fan, 2004. "Relative wage, child labor, and human capital," Oxford Economic Papers, Oxford University Press, vol. 56(4), pages 687-700, October.
    8. Ranjan Ray, 2000. "Analysis of child labour in Peru and Pakistan: A comparative study," Journal of Population Economics, Springer;European Society for Population Economics, vol. 13(1), pages 3-19.
    9. Hideo Akabayashi & George Psacharopoulos, 1999. "The trade-off between child labour and human capital formation: A Tanzanian case study," Journal of Development Studies, Taylor & Francis Journals, vol. 35(5), pages 120-140.
    10. Christelle Dumas, 2007. "Why do parents make their children work? A test of the poverty hypothesis in rural areas of Burkina Faso," Oxford Economic Papers, Oxford University Press, vol. 59(2), pages 301-329, April.
    11. Rosenzweig, Mark R & Evenson, Robert E, 1977. "Fertility, Schooling, and the Economic Contribution of Children in Rural India: An Econometric Analysis," Econometrica, Econometric Society, vol. 45(5), pages 1065-1079, July.
    12. Marco Manacorda, 2006. "Child Labor and the Labor Supply of Other Household Members: Evidence from 1920 America," American Economic Review, American Economic Association, vol. 96(5), pages 1788-1801, December.
    13. Delphine Boutin, 2012. "Family farming, child labour and the wealth paradox: evidence from Mali," Economics Bulletin, AccessEcon, vol. 32(4), pages 3471-3479.
    14. Ranjan RAY & Geoffrey LANCASTER, 2005. "The impact of children's work on schooling: Multi-country evidence," International Labour Review, International Labour Organization, vol. 144(2), pages 189-210, June.
    15. Glomm, Gerhard, 1997. "Parental choice of human capital investment," Journal of Development Economics, Elsevier, vol. 53(1), pages 99-114, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kamalika Chakraborty & Bidisha Chakraborty, 2019. "Will An Increase In Landholding Size Reduce Child Labour In The Presence Of Unemployment? A Theoretical Analysis," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 64(221), pages 85-106, April – J.
    2. Chakraborty, Kamalika & Chakraborty, Bidisha, 2016. "Will increase in size of landholding reduce child labour in presence of unemployment? A theoretical analysis," MPRA Paper 74206, University Library of Munich, Germany.
    3. Chakraborty, Bidisha & Chakraborty, Kamalika, 2016. "Low Level Equilibrium Trap, Unemployment, School Quality, Child Labour and Human Capital Formation," MPRA Paper 74621, University Library of Munich, Germany.
    4. Kamalika Chakraborty & Bidisha Chakraborty, 2018. "Low level equilibrium trap, unemployment, efficiency of education system, child labour and human capital formation," Journal of Economics, Springer, vol. 125(1), pages 69-95, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chakraborty, Kamalika & Chakraborty, Bidisha, 2016. "Will increase in size of landholding reduce child labour in presence of unemployment? A theoretical analysis," MPRA Paper 74206, University Library of Munich, Germany.
    2. Kamalika Chakraborty & Bidisha Chakraborty, 2019. "Will An Increase In Landholding Size Reduce Child Labour In The Presence Of Unemployment? A Theoretical Analysis," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 64(221), pages 85-106, April – J.
    3. Oryoie, Ali Reza & Alwang, Jeffrey & Tideman, Nicolaus, 2017. "Child Labor and Household Land Holding: Theory and Empirical Evidence from Zimbabwe," World Development, Elsevier, vol. 100(C), pages 45-58.
    4. Eric V. Edmonds & Norbert Schady, 2012. "Poverty Alleviation and Child Labor," American Economic Journal: Economic Policy, American Economic Association, vol. 4(4), pages 100-124, November.
    5. Lutfullah Lutf & Shahadat I Haq Yasini, 2018. "Factors Contributing to Child Labor in Afghanistan: A Case Study in Jalalabad City," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 3, pages 348-372, September.
    6. Yonatan Dinku & David Fielding & Murat Genç, 2018. "Health shocks and child time allocation decisions by households: evidence from Ethiopia," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 7(1), pages 1-23, December.
    7. Basu, Kaushik & Das, Sanghamitra & Dutta, Bhaskar, 2010. "Child labor and household wealth: Theory and empirical evidence of an inverted-U," Journal of Development Economics, Elsevier, vol. 91(1), pages 8-14, January.
    8. Moussa Keita, 2014. "Pauvreté et arbitrage entre scolarisation et travail des enfants au Mali," Working Papers halshs-01064821, HAL.
    9. Edmonds, Eric V., 2008. "Child Labor," Handbook of Development Economics, in: T. Paul Schultz & John A. Strauss (ed.), Handbook of Development Economics, edition 1, volume 4, chapter 57, pages 3607-3709, Elsevier.
    10. Kozhaya, Mireille & Martinez Flores, Fernanda, 2020. "Schooling and child labor: Evidence from Mexico's full-time school program," Ruhr Economic Papers 851, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    11. Lodhi, Abdul Salam & Tsegai, Daniel W. & Gerber, Nicolas, 2011. "Determinants of participation in child’s education and alternative activities in Pakistan," Discussion Papers 119110, University of Bonn, Center for Development Research (ZEF).
    12. Francavilla, Francesca & Giannelli, Gianna Claudia & Grilli, Leonardo, 2013. "Mothers’ Employment and their Children’s Schooling: A Joint Multilevel Analysis for India," World Development, Elsevier, vol. 41(C), pages 183-195.
    13. Karina Acevedo González & Raúl Quejada Pérez & Martha Yánez Contreras, 2011. "Determinantes y consecuencias del trabajo infantil: un análisis de la literatura," Revista Facultad de Ciencias Económicas, Universidad Militar Nueva Granada, June.
    14. Heather Congdon Fors, 2012. "Child Labour: A Review Of Recent Theory And Evidence With Policy Implications," Journal of Economic Surveys, Wiley Blackwell, vol. 26(4), pages 570-593, September.
    15. Miwa Kana & Han Phoumin & Fukui Seiichi, 2010. "Does Child Labour Have a Negative Impact on Child Education and Health? A Case Study in Rural Cambodia," Oxford Development Studies, Taylor & Francis Journals, vol. 38(3), pages 357-382.
    16. Han Phoumin, 2008. "Human Capital and Hours Worked of Children in Cambodia: Empirical Evidence for Policy Implications," Asian Economic Journal, East Asian Economic Association, vol. 22(1), pages 25-46, March.
    17. Kathleen Beegle & Rajeev Dehejia & Roberta Gatti, 2009. "Why Should We Care About Child Labor?: The Education, Labor Market, and Health Consequences of Child Labor," Journal of Human Resources, University of Wisconsin Press, vol. 44(4).
    18. Chaudhuri, Sanjukta, 2009. "The School Going Child Worker: An Analysis of Poverty, Asset Inequality and Child Education in Rural India," MPRA Paper 19687, University Library of Munich, Germany.
    19. Julián Arteaga Vallejo, 2016. "Land, Child Labor, and Schooling: Longitudinal evidence from Colombia and Mexico," Documentos CEDE 14977, Universidad de los Andes, Facultad de Economía, CEDE.
    20. Hamna Ahmed, 2012. "The Impact of Public School Enrolment on Child Labor in Punjab, Pakistan," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 17(2), pages 1-34, July-Dec.

    More about this item

    Keywords

    Child labour; Land holding; Human capital; Schooling;
    All these keywords.

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • E2 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ebl:ecbull:eb-14-00487. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: John P. Conley (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.