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Does Land Reform In Transition Countries Increase Child Labor? Evidence From The Republic Of Georgia

  • Kimhi, Ayal

This paper investigates the issue of child labor in the context of land reforms in transition economies, using farm household data from the Republic of Georgia. The results show that an increase in landholdings as an outcome of the land reform can, in the presence of market imperfections, lead to an increase in child labor. This is because the increased demand for labor on the family farm is stronger than the wealth effect generated by the land reform. However, this result is not uniform across farm families. First, it is only relevant for boys, because girls tend to assist in household activities rather than in farm work. Second, larger households are able to meet the increased demand for farm labor without the need for additional child labor. To the extent that smaller households tend to be poorer, it is mostly the poor households that sacrifice the future wellbeing of their male children in order to satisfy current needs. In this sense, the land reform may lead to a higher rural inequality in the long run. The policy implications are that land reforms in transition countries should include, as an integral ingredient, the development of rural land, labor and credit markets, in order to avoid the repercussions associated with increased child labor.

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Paper provided by Hebrew University of Jerusalem, Department of Agricultural Economics and Management in its series Discussion Papers with number 7147.

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Date of creation: 2007
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Handle: RePEc:ags:huaedp:7147
Contact details of provider: Postal: Faculty of Agriculture, Food and Environmental Quality Sciences Hebrew University of Jerusalem, P.O. Box 12, Rehovot 76100
Phone: 08-9481230
Fax: 08-9466267
Web page: http://departments.agri.huji.ac.il/economics/indexe.html

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  13. Kan, Iddo & Kimhi, Ayal & Lerman, Zvi, 2006. "Farm Output, Non-Farm Income, and Commercialization in Rural Georgia," eJADE: electronic Journal of Agricultural and Development Economics, Food and Agriculture Organization, Agricultural and Development Economics Division, vol. 3(2).
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  18. Cigno, Alessandro, 2004. "The Supply of Child Labour," IZA Discussion Papers 1114, Institute for the Study of Labor (IZA).
  19. Gogodze, Joseph & Kan, Iddo & Kimhi, Ayal, 2007. "Land Reform And Rural Well Being In The Republic Of Georgia: 1996-2003," Discussion Papers 7168, Hebrew University of Jerusalem, Department of Agricultural Economics and Management.
  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. Takashi KUROSAKI & Seiro ITO & Nobuhiko FUWA & Kensuke KUBO & Yasuyuki SAWADA, 2006. "Child Labor And School Enrollment In Rural India: Whose Education Matters?," The Developing Economies, Institute of Developing Economies, vol. 44(4), pages 440-464.
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