The Interaction of Child-labour and Schooling in Developing Countries: A Theoretical Perspective
This paper analyses the interaction between child labour and schooling in developing countries. A theoretical framework is developed, where fertility and schooling decisions are made in an environment where children contribute through child labour when young and provide old-age security as adults. The model demonstrates that the child wage rate, which is also the opportunity cost of schooling, is a crucial determinant of total fertility. An increase in the child wage rate leads to lower schooling investments and higher fertility levels. However, changes in schooling costs have no impact on fertility decisions. They only affect the allocation of children¡¯s time between schooling and child labour.
Volume (Year): 25 (2000)
Issue (Month): 2 (December)
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- Jensen, Eric R, 1990. "An Econometric Analysis of the Old-Age Security Motive for Childbearing," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 31(4), pages 953-68, November.
- Nielsen, H.S., 1998. "Child Labor and School Attendance: Two Joint Decisions," Papers 98-15, Centre for Labour Market and Social Research, Danmark-.
- Jensen, P. & Nielsen, H.S., 1996.
"Child Labour or School Attendance? Evidence from Zambia,"
96-14, Centre for Labour Market and Social Research, Danmark-.
- Peter Jensen & Helena Skyt Nielsen, 1997. "Child labour or school attendance? Evidence from Zambia," Journal of Population Economics, Springer, vol. 10(4), pages 407-424.
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