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Can health-insurance help prevent child labor? An impact evaluation from Pakistan

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  • Landmann, Andreas
  • Frölich, Markus

Abstract

Child labor is a common consequence of economic shocks in developing countries. We show that reducing vulnerability can affect child labor outcomes. We exploit the extension of a health and accident insurance scheme by a Pakistani microfinance institution that was set up as a randomized controlled trial and accompanied by household panel surveys. Together with increased coverage the microfinance institution offered assistance with claim procedures in treatment branches. We find lower incidence of child labor, hazardous occupations and child labor earnings caused by the innovation. Boys are more often engaged in child labor in our sample, but also seem to profit more from the insurance innovation.

Suggested Citation

  • Landmann, Andreas & Frölich, Markus, 2015. "Can health-insurance help prevent child labor? An impact evaluation from Pakistan," Journal of Health Economics, Elsevier, vol. 39(C), pages 51-59.
  • Handle: RePEc:eee:jhecon:v:39:y:2015:i:c:p:51-59
    DOI: 10.1016/j.jhealeco.2014.10.003
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    References listed on IDEAS

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    11. Landmann, Andreas & Vollan, Björn & Frölich, Markus, 2012. "Insurance versus Savings for the Poor: Why One Should Offer Either Both or None," IZA Discussion Papers 6298, Institute for the Study of Labor (IZA).
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    Citations

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    Cited by:

    1. Fischer, Torben & Frölich, Markus & Landmann, Andreas, 2018. "Adverse Selection in Low-Income Health Insurance Markets: Evidence from a RCT in Pakistan," IZA Discussion Papers 11751, Institute for the Study of Labor (IZA).
    2. repec:spr:jglont:v:8:y:2018:i:1:d:10.1186_s40497-018-0088-4 is not listed on IDEAS
    3. repec:eee:wdevel:v:110:y:2018:i:c:p:104-123 is not listed on IDEAS
    4. Bernard, Tanguy & Frölich, Markus & Landmann, Andreas & Unte, Pia Naima & Viceisza, Angelino & Wouterse, Fleur, 2015. "Building Trust in Rural Producer Organizations in Senegal: Results from a Randomized Controlled Trial," IZA Discussion Papers 9207, Institute for the Study of Labor (IZA).
    5. Grimm, Michael, 2016. "Rainfall Risk and Fertility: Evidence from Farm Settlements during the American Demographic Transition," IZA Discussion Papers 10351, Institute for the Study of Labor (IZA).
    6. repec:taf:jdevst:v:54:y:2018:i:6:p:1002-1018 is not listed on IDEAS
    7. Dammert, Ana C. & de Hoop, Jacobus & Mvukiyehe, Eric & Rosati, Furio C., 2018. "Effects of public policy on child labor: Current knowledge, gaps, and implications for program design," World Development, Elsevier, vol. 110(C), pages 104-123.
    8. Grimm, Michael, 2017. "Rainfall risk, fertility and development: Evidence from farm settlements during the American demographic transition," Ruhr Economic Papers 718, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.

    More about this item

    Keywords

    Child labor; Health insurance; Microinsurance; Vulnerability; Pakistan;

    JEL classification:

    • I13 - Health, Education, and Welfare - - Health - - - Health Insurance, Public and Private
    • J20 - Labor and Demographic Economics - - Demand and Supply of Labor - - - General
    • J82 - Labor and Demographic Economics - - Labor Standards - - - Labor Force Composition
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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