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Globalization, Gender and Development: The Effect of Parental Labor Supply on Child Schooling

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Author Info

  • Beyza Ural Marchand
  • Ray Rees
  • Raymond Riezman

Abstract

Tariff reductions have gender-specific effects on the labor market that change the relative bargaining power within households, which in turn affects child outcomes. We estimate how changes in parental labor supply due to these tariff reductions affect child schooling by focusing on young school-age children who are otherwise not active in the labor market. Using micro-level data from India, we find that an increase in female labor supply due to the tariff reductions was associated with a 7 percentage points higher schooling probability for children between the ages of 7 and 10. This result explains approximately 26 percent of the improvement in schooling for this age group between the years 1988 and 2000

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Bibliographic Info

Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 3341.

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Date of creation: 2011
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Handle: RePEc:ces:ceswps:_3341

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Keywords: household bargaining; development; globalization; schooling;

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References

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  1. Felbermayr, Gabriel & Prat, Julien & Schmerer, Hans-Jörg, 2008. "Globalization and Labor Market Outcomes: Wage Bargaining, Search Frictions, and Firm Heterogeneity," IZA Discussion Papers 3363, Institute for the Study of Labor (IZA).
  2. Lee, Jungmin, 2004. "Sibling Size and Investment in Children's Education: An Asian Instrument," IZA Discussion Papers 1323, Institute for the Study of Labor (IZA).
  3. Philip Sauré & Hosny Zoabi, 2009. "Effects of Trade on Female Labor Force Participation," Working Papers 2009-12, Swiss National Bank.
  4. David Lam & Suzanne Duryea, 1999. "Effects of Schooling on Fertility, Labor Supply, and Investments in Children, with Evidence from Brazil," Journal of Human Resources, University of Wisconsin Press, vol. 34(1), pages 160-192.
  5. Bronars, Stephen G & Grogger, Jeff, 1994. "The Economic Consequences of Unwed Motherhood: Using Twin Births as a Natural Experiment," American Economic Review, American Economic Association, American Economic Association, vol. 84(5), pages 1141-56, December.
  6. Edmonds, Eric V. & Pavcnik, Nina & Topalova, Petia, 2007. "Trade Adjustment and Human Capital Investments: Evidence from Indian Tariff Reform," IZA Discussion Papers 2611, Institute for the Study of Labor (IZA).
  7. Agnes R. Quisumbing & John A. Maluccio, 2003. "Resources at Marriage and Intrahousehold Allocation: Evidence from Bangladesh, Ethiopia, Indonesia, and South Africa," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, Department of Economics, University of Oxford, vol. 65(3), pages 283-327, 07.
  8. Kim, Jungho & Aassve, Arnstein, 2006. "Fertility and its Consequence on Family Labour Supply," IZA Discussion Papers 2162, Institute for the Study of Labor (IZA).
  9. Anderson, Siwan & Eswaran, Mukesh, 2009. "What determines female autonomy? Evidence from Bangladesh," Journal of Development Economics, Elsevier, Elsevier, vol. 90(2), pages 179-191, November.
  10. Hasan, Rana & Mitra, Devashish & Ranjan, Priya & Ahsan, Reshad N., 2012. "Trade liberalization and unemployment: Theory and evidence from India," Journal of Development Economics, Elsevier, Elsevier, vol. 97(2), pages 269-280.
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Cited by:
  1. Do, Quy-Toan & Levchenko, Andrei & Raddatz, Claudio, 2014. "Comparative advantage, international trade, and fertility," Policy Research Working Paper Series 6930, The World Bank.

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