Weathering the Storms: Credit Receipt and Child Labor in the Aftermath of the Great Floods (1998) in Bangladesh
Summary In this paper we use data from a unique survey conducted in the aftermath of the 1998 floods in Bangladesh to examine how the household shock-child labor relationship is affected by credit receipts of households. Adopting the ratio of assets lost due to the floods as a likely exogenous shock proxy, we find that child labor increases with the magnitude of the shock but only if households do not receive credit. This suggests that following shocks child labor may be a response to non-availability of credit. The policy implication suggests a distinct and alternative channel in combating the economic incentives behind child labor--access to credit diminishes the immediate financial burden on constrained households, reducing their need for child labor.
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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
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.:
- Edmonds, Eric V., 2008.
Handbook of Development Economics,
- Edmonds, Eric V., 2007. "Child Labor," IZA Discussion Papers 2606, Institute for the Study of Labor (IZA).
- Eric Edmonds, 2007. "Child Labor," Working Papers id:988, eSocialSciences.
- Eric V. Edmonds, 2007. "Child Labor," NBER Working Papers 12926, National Bureau of Economic Research, Inc.
- Eric V. Edmonds & Nina Pavcnik, 2005. "Child Labor in the Global Economy," Journal of Economic Perspectives, American Economic Association, vol. 19(1), pages 199-220, Winter.
- Powell, James L, 1986. "Symmetrically Trimmed Least Squares Estimation for Tobit Models," Econometrica, Econometric Society, vol. 54(6), pages 1435-1460, November.
- de Janvry, Alain & Finan, Frederico & Sadoulet, Elisabeth & Vakis, Renos, 2006. "Can conditional cash transfer programs serve as safety nets in keeping children at school and from working when exposed to shocks?," Journal of Development Economics, Elsevier, vol. 79(2), pages 349-373, April.
- Ranjan, Priya, 2001. "Credit constraints and the phenomenon of child labor," Journal of Development Economics, Elsevier, vol. 64(1), pages 81-102, February.
- Ranjan, P., 1999. ""Credit Constraints and the Phenomenon of Child Labor"," Papers 98-99-12, California Irvine - School of Social Sciences.
- Hanan G. Jacoby & Emmanuel Skoufias, 1997. "Risk, Financial Markets, and Human Capital in a Developing Country," Review of Economic Studies, Oxford University Press, vol. 64(3), pages 311-335.
- Hazarika, Gautam & Sarangi, Sudipta, 2008. "Household Access to Microcredit and Child Work in Rural Malawi," World Development, Elsevier, vol. 36(5), pages 843-859, May.
- Hazarika, Gautam & Sarangi, Sudipta, 2005. "Household Access to Microcredit and Child Work in Rural Malawi," IZA Discussion Papers 1567, Institute for the Study of Labor (IZA).
- Sudipta Sarangi & Gautam Hararika, 2007. "Household Access to Microcredit and Child Work in Rural Malawi," Departmental Working Papers 2007-09, Department of Economics, Louisiana State University.
- Sudipta Sarangi & Gautam Hararika, 2006. "Household Access to Microcredit and Child Work in Rural Malawi," Departmental Working Papers 2006-08, Department of Economics, Louisiana State University.
- Del Ninno, Carlo & Dorosh, Paul A. & Smith, Lisa C., 2003. "Public Policy, Markets and Household Coping Strategies in Bangladesh: Avoiding a Food Security Crisis Following the 1998 Floods," World Development, Elsevier, vol. 31(7), pages 1221-1238, July.
- Sonia Bhalotra & Christopher Heady, 2003. "Child Farm Labor: The Wealth Paradox," World Bank Economic Review, World Bank Group, vol. 17(2), pages 197-227, December.
- Bhalotra, Sonia & Heady, Christopher, 2001. "Child farm labour : the wealth paradox," Social Protection and Labor Policy and Technical Notes 24088, The World Bank.
- Sonia Bhalotra & Christopher Heady, 2003. "Child Farm Labor: The Wealth Paradox," Bristol Economics Discussion Papers 03/553, Department of Economics, University of Bristol, UK.
- Jean-Marie Baland & James A. Robinson, 2000. "Is Child Labor Inefficient?," Journal of Political Economy, University of Chicago Press, vol. 108(4), pages 663-679, August.
- Eric Edmonds, 2006. "Understanding sibling differences in child labor," Journal of Population Economics, Springer;European Society for Population Economics, vol. 19(4), pages 795-821, October.
- Gitter, Seth R. & Barham, Bradford L., 2007. "Credit, Natural Disasters, Coffee, and Educational Attainment in Rural Honduras," World Development, Elsevier, vol. 35(3), pages 498-511, March.
- Lorenzo Guarcello & Fabrizia Mealli & Furio Rosati, 2010. "Household vulnerability and child labor: the effect of shocks, credit rationing, and insurance," Journal of Population Economics, Springer;European Society for Population Economics, vol. 23(1), pages 169-198, January.
- Guarcelllo, Lorenzo & Mealli, Fabrizia & Rosati, Furio Camillo, 2003. "Household vulnerability and child labor : the effect of shocks, credit rationing and insurance," Social Protection and Labor Policy and Technical Notes 29136, The World Bank.
- Mette Ejrnæs & Claus C. Pörtner, 2004. "Birth Order and the Intrahousehold Allocation of Time and Education," The Review of Economics and Statistics, MIT Press, vol. 86(4), pages 1008-1019, November.
- Mette Ejrnæs & Claus Chr. Pörtner, 2002. "Birth Order and the Intrahousehold Allocation of Time and Education," CAM Working Papers 2002-09, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
- Kang, Sung Jin & Lee, Myoung-jae, 2003. "Analysis of private transfers with panel fixed-effect censored model estimator," Economics Letters, Elsevier, vol. 80(2), pages 233-237, August.
- Basu, Kaushik & Van, Pham Hoang, 1998. "The Economics of Child Labor," American Economic Review, American Economic Association, vol. 88(3), pages 412-427, June.
- Pouliot, William, 2006. "Introducing uncertainty into Baland and Robinson's model of child labour," Journal of Development Economics, Elsevier, vol. 79(1), pages 264-272, February.
- William Pouliot, 2003. "Introducing Uncertainty into Baland and Robinson's Model of Child Labour," Carleton Economic Papers 03-11, Carleton University, Department of Economics, revised Feb 2006.
- Duryea, Suzanne & Lam, David & Levison, Deborah, 2007. "Effects of economic shocks on children's employment and schooling in Brazil," Journal of Development Economics, Elsevier, vol. 84(1), pages 188-214, September.
- Dehejia, Rajeev H & Gatti, Roberta, 2005. "Child Labor: The Role of Financial Development and Income Variability across Countries," Economic Development and Cultural Change, University of Chicago Press, vol. 53(4), pages 913-932, July.
- Amin, Shahina & Quayes, Shakil & Rives, Janet M., 2006. "Market work and household work as deterrents to schooling in Bangladesh," World Development, Elsevier, vol. 34(7), pages 1271-1286, July.
- Beegle, Kathleen & Dehejia, Rajeev H. & Gatti, Roberta, 2006. "Child labor and agricultural shocks," Journal of Development Economics, Elsevier, vol. 81(1), pages 80-96, October. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:eee:wdevel:v:39:y:2011:i:8:p:1398-1409. 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: (Dana Niculescu)
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.