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Relative wage, child labor, and human capital

  • C. Simon Fan

This paper analyses child labor and children's human capital formation in response to the changes of the relative wage-productivity between child labor and adult labor. It implies that because children's labor market participation raises the financial resources spent on their education, a small increase in child labor may enhance children's human capital. It also shows that in a poor economy, the laws that punish or partially deter child labor may result in children working more and accumulating less human capital. Copyright 2004, Oxford University Press.

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Article provided by Oxford University Press in its journal Oxford Economic Papers.

Volume (Year): 56 (2004)
Issue (Month): 4 (October)
Pages: 687-700

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Handle: RePEc:oup:oxecpp:v:56:y:2004:i:4:p:687-700
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  1. Basu, Kaushik, 1998. "Child labor : cause, consequence, and cure, with remarks on International Labor Standards," Policy Research Working Paper Series 2027, The World Bank.
  2. Moshe Hazan & Binyamin Berdugo, 2005. "Child Labor, Fertility and Economic Growth," Development and Comp Systems 0507002, EconWPA.
  3. Sonia R Bhalotra & Chris Heady, 2000. "Child Farm Labour: Theory and Evidence," STICERD - Development Economics Papers - From 2008 this series has been superseded by Economic Organisation and Public Policy Discussion Papers 24, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
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  6. Ravallion, Martin & Wodon, Quentin, 1999. "Does child labor displace schooling? - evidence on behavioral responses to an enrollment subsidy," Policy Research Working Paper Series 2116, The World Bank.
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  17. Horrell, Sara & Humphries, Jane & Voth, Hans-Joachim, 2001. "Destined for Deprivation: Human Capital Formation and Intergenerational Poverty in Nineteenth-Century England," Explorations in Economic History, Elsevier, vol. 38(3), pages 339-365, July.
  18. Emmanuel Skoufias & Susan Wendy Parker, 2001. "Conditional Cash Transfers and Their Impact on Child Work and Schooling: Evidence from the PROGRESA Program in Mexico," ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION.
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  20. 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.
  21. anonymous, 2000. "Western economic developments," Western economic developments, Federal Reserve Bank of San Francisco, issue Jun.
  22. David N. Weil & Oded Galor, 2000. "Population, Technology, and Growth: From Malthusian Stagnation to the Demographic Transition and Beyond," American Economic Review, American Economic Association, vol. 90(4), pages 806-828, September.
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