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Education, Poverty and Child Labour

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  • Alice FABRE
  • Emmanuelle AUGERAUD-VERON

Abstract

The purpose of the paper is to investigate the effects of poverty and educational policies on school attendance, child labour and growth. We consider an OLG model, with parental educational choices. It is assumed there is a trade off between child labour and human capital accumulation. If parents don't choose for quality of education, it is shown that a poverty trap may occur in the presence of a consumption subsistence or when the quality of education is inadequate. A private education system, where schooling quality is endogeneized can improve growth and reduce child labour, and cycles may occur. A public education system does not generate cycles, but it can generate more easely a poverty trap. In this case, only subsidies would help to reduce poverty and, consequently, child labou

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Bibliographic Info

Paper provided by Econometric Society in its series Econometric Society 2004 Far Eastern Meetings with number 738.

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Date of creation: 11 Aug 2004
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Handle: RePEc:ecm:feam04:738

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Keywords: education; child labour; consumption subsistence; growth; educational policies;

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  1. Basu, Kaushik & Van, Pham Hoang, 1998. "The Economics of Child Labor," American Economic Review, American Economic Association, vol. 88(3), pages 412-27, June.
  2. Edmonds, Eric & Turk, Carrie, 2002. "Child labor in transition in Vietnam," Policy Research Working Paper Series 2774, The World Bank.
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  8. Rebelo, Sergio, 1991. "Growth in open economies," Policy Research Working Paper Series 799, The World Bank.
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  10. Paul Glewwe, 2002. "Schools and Skills in Developing Countries: Education Policies and Socioeconomic Outcomes," Journal of Economic Literature, American Economic Association, vol. 40(2), pages 436-482, June.
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  13. Glomm, Gerhard & Ravikumar, B, 1992. "Public versus Private Investment in Human Capital Endogenous Growth and Income Inequality," Journal of Political Economy, University of Chicago Press, vol. 100(4), pages 818-34, August.
  14. Glomm, Gerhard, 1997. "Parental choice of human capital investment," Journal of Development Economics, Elsevier, vol. 53(1), pages 99-114, June.
  15. Partha Dasgupta, 1998. "The Economics of Poverty in Poor Countries," STICERD - Development Economics Papers - From 2008 this series has been superseded by Economic Organisation and Public Policy Discussion Papers 09, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
  16. West, Edwin G., 1991. "Public schools and excess burdens," Economics of Education Review, Elsevier, vol. 10(2), pages 159-169, June.
  17. Matthias Doepke, 2001. "Accounting for Fertility Decline During the Transition to Growth," UCLA Economics Working Papers 804, UCLA Department of Economics.
  18. Dasgupta, Partha, 1998. " The Economics of Poverty in Poor Countries," Scandinavian Journal of Economics, Wiley Blackwell, vol. 100(1), pages 41-68, March.
  19. Matthias Doepke & Fabrizio Zilibotti, 2005. "The macroeconomics of child labor regulation," Staff Report 354, Federal Reserve Bank of Minneapolis.
  20. Steger, Thomas M., 2000. "Economic growth with subsistence consumption," Journal of Development Economics, Elsevier, vol. 62(2), pages 343-361, August.
  21. Ehrlich, Isaac & Lui, Francis T, 1991. "Intergenerational Trade, Longevity, and Economic Growth," Journal of Political Economy, University of Chicago Press, vol. 99(5), pages 1029-59, October.
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