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The Wealth Paradox Revisited: Credit Market Imperfections and Child Labor

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  • Congdon Fors, Heather

    (Department of Economics, School of Business, Economics and Law, Göteborg University)

Abstract

We revisit the model of child labor in a peasant household presented in Bhalotra and Heady (2003), and demonstrate that the e¤ect of credit market imperfections on child labor di¤ers between households that save and households that borrow. This in turn is important for the interpretation of empirical results.

Suggested Citation

  • Congdon Fors, Heather, 2008. "The Wealth Paradox Revisited: Credit Market Imperfections and Child Labor," Working Papers in Economics 323, University of Gothenburg, Department of Economics.
    • Handle: RePEc:hhs:gunwpe:0323
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    File URL: http://hdl.handle.net/2077/18373
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    References listed on IDEAS

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    1. Sonia Bhalotra & Christopher Heady, 2003. "Child Farm Labor: The Wealth Paradox," The World Bank Economic Review, World Bank, vol. 17(2), pages 197-227, December.
    2. Eric V. Edmonds & Nina Pavcnik, 2005. "Child Labor in the Global Economy," Journal of Economic Perspectives, American Economic Association, vol. 19(1), pages 199-220, Winter.
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    Keywords

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    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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