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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
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Handle: RePEc:ecm:feam04:738
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  1. Partha Dasgupta, 1998. "The Economics of Poverty in Poor Countries," STICERD - Development Economics Papers - From 2008 this series has been superseded by Economic Organisation and Public Policy Discussion Papers 09, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
  2. 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.
  3. Matthias Doepke, 2004. "Accounting for Fertility Decline During the Transition to Growth," Journal of Economic Growth, Springer, vol. 9(3), pages 347-383, 09.
  4. Dan Ben-David, 1997. "Convergence Clubs and Subsistence Economies," NBER Working Papers 6267, National Bureau of Economic Research, Inc.
  5. 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.
  6. George Psacharopoulos, 1997. "Child labor versus educational attainment Some evidence from Latin America," Journal of Population Economics, Springer, vol. 10(4), pages 377-386.
  7. Ranjan Ray, 2000. "Analysis of child labour in Peru and Pakistan: A comparative study," Journal of Population Economics, Springer, vol. 13(1), pages 3-19.
  8. Rebelo, Sérgio, 1992. "Growth in Open Economies," CEPR Discussion Papers 667, C.E.P.R. Discussion Papers.
  9. 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.
  10. West, Edwin G., 1991. "Public schools and excess burdens," Economics of Education Review, Elsevier, vol. 10(2), pages 159-169, June.
  11. Matthias Doepke & Fabrizio Zilibotti, 2005. "The macroeconomics of child labor regulation," Staff Report 354, Federal Reserve Bank of Minneapolis.
  12. Psacharopoulos, George, 1989. "Time trends of the returns to education: Cross-national evidence," Economics of Education Review, Elsevier, vol. 8(3), pages 225-231, June.
  13. 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.
  14. Steger, Thomas M., 2000. "Economic growth with subsistence consumption," Journal of Development Economics, Elsevier, vol. 62(2), pages 343-361, August.
  15. Edmonds, Eric & Turk, Carrie, 2002. "Child labor in transition in Vietnam," Policy Research Working Paper Series 2774, The World Bank.
  16. Azariadis, Costas, 1996. " The Economics of Poverty Traps: Part One: Complete Markets," Journal of Economic Growth, Springer, vol. 1(4), pages 449-96, December.
  17. 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.
  18. Dasgupta, Partha, 1998. " The Economics of Poverty in Poor Countries," Scandinavian Journal of Economics, Wiley Blackwell, vol. 100(1), pages 41-68, March.
  19. Basu, Kaushik & Van, Pham Hoang, 1998. "The Economics of Child Labor," American Economic Review, American Economic Association, vol. 88(3), pages 412-27, June.
  20. 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.
  21. Glomm, Gerhard, 1997. "Parental choice of human capital investment," Journal of Development Economics, Elsevier, vol. 53(1), pages 99-114, June.
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