Advanced Search
MyIDEAS: Login to save this paper or follow this series

Why Should We Care About Child Labor? The Education, Labor Market, and Health Consequences of Child Labor

Contents:

Author Info

  • Kathleen Beegle
  • Rajeev Dehejia
  • Roberta Gatti

Abstract

Although there is an extensive literature on the determinants of child labor and many initiatives aimed at combating it, there is limited evidence on the consequences of child labor on socio-economic outcomes such as education, wages, and health. We evaluate the causal effect of child labor participation on these outcomes using panel data from Vietnam and an instrumental variables strategy. Five years subsequent to the child labor experience, we find significant negative impacts on school participation and educational attainment, but also find substantially higher earnings for those (young) adults who worked as children. We find no significant effects on health. Over a longer horizon, we estimate that from age 30 onward the forgone earnings attributable to lost schooling exceed any earnings gain associated with child labor and that the net present discounted value of child labor is positive for discount rates of 11.5 percent or higher. We show that child labor is prevalent among households likely to have higher borrowing costs, that are farther from schools, and whose adult members experienced negative returns to their own education. This evidence suggests that reducing child labor will require facilitating access to credit and will also require households to be forward looking.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.nber.org/papers/w10980.pdf
Download Restriction: no

Bibliographic Info

Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 10980.

as in new window
Length:
Date of creation: Dec 2004
Date of revision:
Publication status: published as 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).
Handle: RePEc:nbr:nberwo:10980

Note: LS
Contact details of provider:
Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.
Phone: 617-868-3900
Email:
Web page: http://www.nber.org
More information through EDIRC

Related research

Keywords:

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Eric Edmonds, 2007. "Child Labor," Working Papers id:988, eSocialSciences.
  2. Sonia Bhalotra & Christopher Heady, 2003. "Child Farm Labor: The Wealth Paradox," Bristol Economics Discussion Papers 03/553, Department of Economics, University of Bristol, UK.
  3. Thomas Piketty, 1994. "Social Mobility and Redistributive Politics," Working papers 94-15, Massachusetts Institute of Technology (MIT), Department of Economics.
  4. Loren Brandt & Dwayne Benjamin, 2002. "Agriculture and Income Distribution in Rural Vietnam under Economic Reforms: A Tale of Two Regions," William Davidson Institute Working Papers Series 519, William Davidson Institute at the University of Michigan.
  5. Stephen Zeldes, . "Consumption and Liquidity Constraints: An Empirical Investigation," Rodney L. White Center for Financial Research Working Papers, Wharton School Rodney L. White Center for Financial Research 24-85, Wharton School Rodney L. White Center for Financial Research.
  6. Morduch, Jonathan, 1994. "Poverty and Vulnerability," American Economic Review, American Economic Association, American Economic Association, vol. 84(2), pages 221-25, May.
  7. Joshua Angrist, 1989. "Lifetime Earnings and the Vietnam Era Draft Lottery: Evidence from Social Security Administrative Records," Working Papers, Princeton University, Department of Economics, Industrial Relations Section. 631, Princeton University, Department of Economics, Industrial Relations Section..
  8. Orley Ashenfelter & Cecilia Rouse, 1997. "Income, Schooling, and Ability: Evidence from a New Sample of Identical Twins," NBER Working Papers 6106, National Bureau of Economic Research, Inc.
  9. FurioCamillo Rosati & Zafiris Tzannatos, 2006. "Child Labour In Vietnam," Pacific Economic Review, Wiley Blackwell, Wiley Blackwell, vol. 11(1), pages 1-31, 02.
  10. Ashenfelter, Orley & Krueger, Alan B, 1994. "Estimates of the Economic Returns to Schooling from a New Sample of Twins," American Economic Review, American Economic Association, American Economic Association, vol. 84(5), pages 1157-73, December.
  11. 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.
  12. Canagarajah, Sudharshan & Nielsen, Helena Skyt, 1999. "Child labor and schooling in Africa : a comparative study," Social Protection Discussion Papers 20456, The World Bank.
  13. Strauss, John & Thomas, Duncan, 1995. "Human resources: Empirical modeling of household and family decisions," Handbook of Development Economics, Elsevier, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 3, chapter 34, pages 1883-2023 Elsevier.
  14. Geoffrey Lancaster & Ranjan Ray, 2004. "Does Child Labour Affect School Attendance and School Performance?Multi Country Evidence on SIMPOC data," Econometric Society 2004 Australasian Meetings 68, Econometric Society.
  15. Edmonds & Eric V. & Pavcnik, Nina, 2004. "Product market integration and household labor supply in a poor economy: evidence from Vietnam," Policy Research Working Paper Series 3234, The World Bank.
  16. Moock, Peter R. & Patrinos, Harry Anthony & Venkataraman, Meera, 2003. "Education and earnings in a transition economy: the case of Vietnam," Economics of Education Review, Elsevier, Elsevier, vol. 22(5), pages 503-510, October.
  17. Rosenzweig, Mark R. & Wolpin, Kenneth I., 1984. "Specific Experience, Household Structure and Intergenerational Transfers: Farm Family Land and Labor Arrangements in Developing Countries," Bulletins, University of Minnesota, Economic Development Center 8432, University of Minnesota, Economic Development Center.
  18. George Psacharopoulos & Harry Anthony Patrinos, 2004. "Returns to investment in education: a further update," Education Economics, Taylor & Francis Journals, Taylor & Francis Journals, vol. 12(2), pages 111-134.
  19. Strauss, J. & Thomas, D., 1995. "Empirical Modeling of Household and Family Decisions," Papers, RAND - Reprint Series 95-12, RAND - Reprint Series.
  20. Glewwe, Paul & Jacoby, Hanan G. & King, Elizabeth M., 2001. "Early childhood nutrition and academic achievement: a longitudinal analysis," Journal of Public Economics, Elsevier, Elsevier, vol. 81(3), pages 345-368, September.
  21. Heady, Christopher, 2003. "The Effect of Child Labor on Learning Achievement," World Development, Elsevier, Elsevier, vol. 31(2), pages 385-398, February.
  22. George Psacharopoulos & Harry Anthony Patrinos, 1997. "Family size, schooling and child labor in Peru - An empirical analysis," Journal of Population Economics, Springer, Springer, vol. 10(4), pages 387-405.
  23. Kathleen Beegle & Rajeev Dehejia & Roberta Gatti, 2003. "Child Labor, Crop Shocks, and Credit Constraints," NBER Working Papers 10088, National Bureau of Economic Research, Inc.
  24. O.O'Donnell & F.Rosati & E.van Doorslaer, 2003. "Health Effects of Children's Work: Evidence from Vietnam," UCW Working Paper 2, Understanding Children's Work (UCW Programme).
  25. Edmonds, Eric & Turk, Carrie, 2002. "Child labor in transition in Vietnam," Policy Research Working Paper Series 2774, The World Bank.
  26. Edmonds & Eric V., 2004. "Household composition and the response of child labor supply to product market integration: evidence from Vietnam," Policy Research Working Paper Series 3235, The World Bank.
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 in new window

Cited by:
This item has more than 25 citations. To prevent cluttering this page, these citations are listed on a separate page.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:10980. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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