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Education, Poverty and Child Labour

  • Alice FABRE
  • Emmanuelle AUGERAUD-VERON

The purpose of the paper is to investigate the effects of poverty and educational policies on school attendance, child labour and growth. We consider an OLG model, with parental educational choices. It is assumed there is a trade off between child labour and human capital accumulation. If parents don't choose for quality of education, it is shown that a poverty trap may occur in the presence of a consumption subsistence or when the quality of education is inadequate. A private education system, where schooling quality is endogeneized can improve growth and reduce child labour, and cycles may occur. A public education system does not generate cycles, but it can generate more easely a poverty trap. In this case, only subsidies would help to reduce poverty and, consequently, child labou

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Paper provided by Econometric Society in its series Econometric Society 2004 Far Eastern Meetings with number 738.

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Date of creation: 11 Aug 2004
Date of revision:
Handle: RePEc:ecm:feam04:738
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  1. 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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  8. Steger, Thomas M., 2000. "Economic growth with subsistence consumption," Journal of Development Economics, Elsevier, vol. 62(2), pages 343-361, August.
  9. Glomm, Gerhard & Ravikumar, B, 1992. "Public versus Private Investment in Human Capital Endogenous Growth and Income Inequality," Journal of Political Economy, University of Chicago Press, vol. 100(4), pages 818-34, August.
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  12. Ben-David,D., 1995. "Convergence Clubs and Subsistence Economies," Papers 43-95, Tel Aviv.
  13. Azariadis, Costas, 1996. " The Economics of Poverty Traps: Part One: Complete Markets," Journal of Economic Growth, Springer, vol. 1(4), pages 449-96, December.
  14. George Psacharopoulos, 1997. "Child labor versus educational attainment Some evidence from Latin America," Journal of Population Economics, Springer, vol. 10(4), pages 377-386.
  15. Jensen, P. & Nielsen, H.S., 1996. "Child Labour or School Attendance? Evidence from Zambia," Papers 96-14, Centre for Labour Market and Social Research, Danmark-.
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  17. Dasgupta, Partha, 1998. " The Economics of Poverty in Poor Countries," Scandinavian Journal of Economics, Wiley Blackwell, vol. 100(1), pages 41-68, March.
  18. West, Edwin G., 1991. "Public schools and excess burdens," Economics of Education Review, Elsevier, vol. 10(2), pages 159-169, June.
  19. Edmonds, Eric & Turk, Carrie, 2002. "Child labor in transition in Vietnam," Policy Research Working Paper Series 2774, The World Bank.
  20. Paul Glewwe, 2002. "Schools and Skills in Developing Countries: Education Policies and Socioeconomic Outcomes," Journal of Economic Literature, American Economic Association, vol. 40(2), pages 436-482, June.
  21. Ehrlich, Isaac & Lui, Francis T, 1991. "Intergenerational Trade, Longevity, and Economic Growth," Journal of Political Economy, University of Chicago Press, vol. 99(5), pages 1029-59, October.
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