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Household Access to Microcredit and Child Work in Rural Malawi

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Sudipta Sarangi ()
Gautam Hararika ()

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Abstract

This paper examines the effect of household access to microcredit upon work by seven to eleven year old children in rural Malawi. Given that microcredit organizations foster household enterprises wherein much child labor is engaged, this paper aims to discover whether access to microcredit might increase work by children. It is found that, in the peak harvest season, household access to microcredit, measured in a novel manner as self-assessed credit limits at microcredit organizations, raises the probability of child work in households with sample means of owned land and number of retail sales enterprises. It appears this is due to children having to take up more domestic chores as adults are busied in household enterprises following improved access to microcredit.

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Paper provided by Department of Economics, Louisiana State University in its series Departmental Working Papers with number 2006-08.

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Handle: RePEc:lsu:lsuwpp:2006-08

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  19. Mark M. Pitt & Shahidur R. Khandker, 1998. "The Impact of Group-Based Credit Programs on Poor Households in Bangladesh: Does the Gender of Participants Matter?," Journal of Political Economy, University of Chicago Press, vol. 106(5), pages 958-996, October. [Downloadable!] (restricted)
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  21. Binder, Melissa & Scrogin, David, 1999. "Labor Force Participation and Household Work of Urban Schoolchildren in Mexico: Characteristics and Consequences," Economic Development and Cultural Change, University of Chicago Press, vol. 48(1), pages 123-54, October.
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