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Child Labor and Schooling Response to Changes in Coca Production in Rural Peru

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  • Dammert, Ana C.

    ()
    (Carleton University)

Abstract

Coca eradication and interdiction are the most common policies aimed at reducing the production and distribution of cocaine in the Andes, but little is known about their impact on households. This paper uses the shift in the production of coca leaves from Peru to Colombia in 1995 to analyze the indirect effects of the anti-coca policy on children’s allocation of time. After different sensitivity checks, the results indicate that a decrease in coca production are associated with increases in work and hours children living in coca-growing states devote to work within and outside the household, with no effects on schooling outcomes. These findings suggest a previously undocumented indirect effect of drug policies on household behavior.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2869.

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Length: 44 pages
Date of creation: Jun 2007
Date of revision:
Handle: RePEc:iza:izadps:dp2869

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Keywords: Peru; coca production; child labor; schooling;

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  1. Drusilla K. Brown & Alan V. Deardorff & Robert M. Stern, 2001. "Child Labor: Theory, Evidence and Policy," Discussion Papers Series, Department of Economics, Tufts University 0111, Department of Economics, Tufts University.
  2. Ersado, Lire, 2005. "Child Labor and Schooling Decisions in Urban and Rural Areas: Comparative Evidence from Nepal, Peru, and Zimbabwe," World Development, Elsevier, vol. 33(3), pages 455-480, March.
  3. Petia Topalova & Eric Edmonds & Nina Pavcnik, 2007. "Trade Adjustment and Human Capital Investments: Evidence from Indian Tariff Reform," Working Papers id:999, eSocialSciences.
  4. Angrist, Joshua & Kugler, Adriana, 2007. "Rural Windfall or a New Resource Curse? Coca, Income, and Civil Conflict in Colombia," IZA Discussion Papers 2790, Institute for the Study of Labor (IZA).
  5. Edmonds, Eric V., 2008. "Child Labor," Handbook of Development Economics, Elsevier.
  6. Basu, Kaushik & Tzannatos, Zafiris, 2003. "The Global Child Labor Problem: What Do We Know and What Can We Do?," Working Papers 03-06, Cornell University, Center for Analytic Economics.
  7. Ranjan Ray, 2000. "Analysis of child labour in Peru and Pakistan: A comparative study," Journal of Population Economics, Springer, vol. 13(1), pages 3-19.
  8. Sonia Bhalotra, 2007. "Is Child Work Necessary?," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 69(1), pages 29-55, 02.
  9. Edmonds, Eric V. & Pavcnik, Nina, 2005. "The effect of trade liberalization on child labor," Journal of International Economics, Elsevier, vol. 65(2), pages 401-419, March.
  10. Steiner, Roberto, 1998. "Colombia's income from the drug trade," World Development, Elsevier, vol. 26(6), pages 1013-1031, June.
  11. Jaime Saavedra & Pablo Suarez, 2002. "El financiamiento de la educación pública en el Perú: el rol de las familias," Documentos de Investigación dt38, Grupo de Análisis para el Desarrollo (GRADE).
  12. Emmanuel Skoufias & Susan Parker, 2006. "Job loss and family adjustments in work and schooling during the Mexican peso crisis," Journal of Population Economics, Springer, vol. 19(1), pages 163-181, February.
  13. Basu, Kaushik & Van, Pham Hoang, 1998. "The Economics of Child Labor," American Economic Review, American Economic Association, vol. 88(3), pages 412-27, June.
  14. Funkhouser, Edward, 1999. "Cyclical economic conditions and school attendance in Costa Rica," Economics of Education Review, Elsevier, vol. 18(1), pages 31-50, February.
  15. Kaushik Basu, 1999. "Child Labor: Cause, Consequence, and Cure, with Remarks on International Labor Standards," Journal of Economic Literature, American Economic Association, vol. 37(3), pages 1083-1119, September.
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  17. Sonia Bhalotra, and Zafiris Tzannatos, 2003. "Child labor : what have we learnt?," Social Protection Discussion Papers 27872, The World Bank.
  18. Jacoby, Hanan G & Skoufias, Emmanuel, 1997. "Risk, Financial Markets, and Human Capital in a Developing Country," Review of Economic Studies, Wiley Blackwell, vol. 64(3), pages 311-35, July.
  19. Eric V. Edmonds & Nina Pavcnik & Petia Topalova, 2007. "Trade Adjustment and Human Capital Investment," IMF Working Papers 07/94, International Monetary Fund.
  20. World Bank, 2001. "Peruvian Education at a Crossroads : Challenges and Opportunities for the 21st Century," World Bank Publications, The World Bank, number 13948, July.
  21. George Psacharopoulos & Harry Anthony Patrinos, 1997. "Family size, schooling and child labor in Peru - An empirical analysis," Journal of Population Economics, Springer, vol. 10(4), pages 387-405.
  22. Christina Paxson & Norbert R. Schady, 2002. "The Allocation and Impact of Social Funds: Spending on School Infrastructure in Peru," World Bank Economic Review, World Bank Group, vol. 16(2), pages 297-319, August.
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Citations

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Cited by:
  1. 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, 09.
  2. Edmonds, Eric V. & Schady, Norbert, 2008. "Poverty alleviation and child labor," Policy Research Working Paper Series 4702, The World Bank.
  3. Alice Fabre & Stéphane Pallage, 2011. "Child Labor, Idiosyncratic Shocks, and Social Policy," Cahiers de recherche 1115, CIRPEE.
  4. Emla Fitzsimons & Alice Mesnard, 2012. "How children's schooling and work are affected when their father leaves permanently: evidence from Colombia," IFS Working Papers W12/04, Institute for Fiscal Studies.
  5. Edmonds, Eric V., 2007. "Child Labor," IZA Discussion Papers 2606, Institute for the Study of Labor (IZA).
  6. Emla Fitzsimons & Alice Mesnard, 2008. "Are boys and girls affected differently when the household head leaves for good? Evidence from school and work choices in Colombia," IFS Working Papers W08/11, Institute for Fiscal Studies.
  7. Fitzsimons, Emla & Mesnard, Alice, 2008. "Are Boys and Girls Affected Differently When the Household Head Leaves for Good? Evidence from School and Work Choices in Colombia," CEPR Discussion Papers 7040, C.E.P.R. Discussion Papers.
  8. Eric V. Edmonds & Maheshwor Shrestha, 2013. "You Get What You Pay For: Schooling Incentives and Child Labor," NBER Working Papers 19279, National Bureau of Economic Research, Inc.
  9. Reyes, Luis Carlos, 2011. "Estimating the causal effect of forced eradication on coca cultivation in Colombian municipalities," MPRA Paper 33478, University Library of Munich, Germany.
  10. Fitzsimons, Emla & Mesnard, Alice, 2013. "Can conditional cash transfers compensate for a father's absence ?," Policy Research Working Paper Series 6476, The World Bank.

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