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Labor Market Shocks And Their Impacts On Work And Schooling: Evidence From Urban Mexico

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  • Skoufias, Emmanuel
  • Parker, Susan W.

Abstract

We use individual observations from a panel of families during the period of the peso crisis in Mexico to investigate whether and how labor market shocks, as proxied by changes in the gender- and age-specific unemployment rates in the metropolitan area of the household, affect the intertemporal time allocation of adult members and children. Our findings suggest that significant added-worker effects are in operation, especially for adult females of poorer households and in some cases children. The same shocks also increase significantly the probability that children do not continue school in the next year. We also present evidence suggesting differential treatment based on the sex of children within families.

Suggested Citation

  • Skoufias, Emmanuel & Parker, Susan W., 2002. "Labor Market Shocks And Their Impacts On Work And Schooling: Evidence From Urban Mexico," FCND Discussion Papers 16405, CGIAR, International Food Policy Research Institute (IFPRI).
    • Handle: RePEc:ags:fcnddp:16405
    DOI: 10.22004/ag.econ.16405
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    2. 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.
    3. Marcelo Côrtes Neri & Emily Gustafsson-Wright & Guilherme Sedlacek & Peter F. Orazem, 2009. "The Responses of Child Labor, School Enrollment, and Grade Repetition to the Loss of Parental Earnings in Brazil, 1982–1999," Palgrave Macmillan Books, in: Peter F. Orazem & Guilherme Sedlacek & Zafiris Tzannatos (ed.), Child Labor and Education in Latin America, chapter 3, pages 55-68, Palgrave Macmillan.
    4. Mesnard, Alice & Fitzsimons, Emla, 2008. "Are Boys and Girls Affected Differently When the Household Head Leaves for Good? Evidence from School and Work Choices in Colom," CEPR Discussion Papers 7040, C.E.P.R. Discussion Papers.
    5. Ucw, 2010. "Child labour: trends, challenges and policy responses. Joining forces against child labour," UCW Working Paper 49, Understanding Children's Work (UCW Programme).
    6. Duryea, Suzanne & Arends-Kuenning, Mary, 2003. "School Attendance, Child Labor and Local Labor Market Fluctuations in Urban Brazil," World Development, Elsevier, vol. 31(7), pages 1165-1178, July.
    7. Ersado, Lire, 2002. "Child labor and school decisions in urban and rural areas: cross country evidence," FCND discussion papers 145, International Food Policy Research Institute (IFPRI).
    8. Pipit Pitriyan & Ahmad Komarulzaman, 2010. "The Effect of Income Shocks and Credit Constraint on Child Labor Participation and Poverty: The Case of Indonesia," Working Papers in Economics and Development Studies (WoPEDS) 201002, Department of Economics, Padjadjaran University, revised Jun 2010.
    9. Emla Fitzsimons & Alice Mesnard, 2008. "Are boys and girls affected differently when the household head leaves for good? Evidence from school and work choices in Colombia," IFS Working Papers W08/11, Institute for Fiscal Studies.
    10. Jennifer Helgeson & Simon Dietz & Stefan Hochrainer-Stigler, 2012. "Vulnerability to weather disasters: the choice of coping strategies in rural Uganda," GRI Working Papers 91, Grantham Research Institute on Climate Change and the Environment.
    11. Ersado, Lire, 2005. "Child Labor and Schooling Decisions in Urban and Rural Areas: Comparative Evidence from Nepal, Peru, and Zimbabwe," World Development, Elsevier, vol. 33(3), pages 455-480, March.
    12. Gianni Toniolo & Giovanni Vecchi, 2007. "Italian Children at Work, 1881-1961," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 66(3), pages 401-427, November.
    13. Drusilla K. Brown & Alan V. Deardorff & Robert M. Stern, 2009. "The Effects of Multinational Production on Wages and Working Conditions in Developing Countries," World Scientific Book Chapters, in: Globalization And International Trade Policies, chapter 17, pages 623-687, World Scientific Publishing Co. Pte. Ltd..
    14. Emla Fitzsimons & Alice Mesnard, 2012. "How children's schooling and work are affected when their father leaves permanently: evidence from Colombia," IFS Working Papers W12/04, Institute for Fiscal Studies.
    15. Ersado, Lire, 2003. "Child Labor And School Decisions In Urban And Rural Areas: Cross Country Evidence," FCND Discussion Papers 16392, CGIAR, International Food Policy Research Institute (IFPRI).
    16. Ersado, Lire, 2003. "Child Labor And Schooling Decisions In Urban And Rural Areas: Cross-Country Evidence," 2003 Annual meeting, July 27-30, Montreal, Canada 21924, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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