Government Expenditures on Education, Fertility Rate, and Child Schooling
In many developing countries, a modern sector coexists with a traditional, informal, sector often intensive in child labor. In such a setting, when parents care about both the number and wellbeing of offsping, but also attach an economic value to children, there is a positive association between the total fertility rate and child's time allocated to schooling. As a result, Government expenditures on education fail to enhance optimal growth of human capital.
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