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Does Child Work Decrease with Parental Income?: The Luxury Axiom Revisited in India

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  • Uma Kambhampati

    () (Department of Economics, University of Reading)

Abstract

In this paper, we analyse the determinants of child work and schooling in rural India within a bivariate probit framework. Our sample consists of 93,825 children (6-15 year olds) from the 50th Round of the NSS in India. Our primary focu8s is whether an increase in the wages earned by fathers and mothers in our sample would help decrease the work done by children. Two results stand out from our analysis. First, we can confirm the luxury axiom in India - and increase in mother's and father's wages does decrease child work. The effect is neither continuous nor monotonic in the case of mother's wages, however. In fact, we find that mother's work actually increases the probability of child (especially girls) work, though this effect is mitigated by an increase in mother's wages. Second, mother's education (rather than employment or wates0 is the single most significant factor decreasing the probability of children working.

Suggested Citation

  • Uma Kambhampati, 2004. "Does Child Work Decrease with Parental Income?: The Luxury Axiom Revisited in India," Economics & Management Discussion Papers em-dp2004-02, Henley Business School, Reading University.
  • Handle: RePEc:rdg:emxxdp:em-dp2004-02
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    Cited by:

    1. repec:rdg:wpaper:em-dp2004-21 is not listed on IDEAS
    2. Heather Congdon Fors, 2012. "Child Labour: A Review Of Recent Theory And Evidence With Policy Implications," Journal of Economic Surveys, Wiley Blackwell, vol. 26(4), pages 570-593, September.
    3. Kambhampati, Uma S. & Rajan, Raji, 2006. "Economic growth: A panacea for child labor?," World Development, Elsevier, vol. 34(3), pages 426-445, March.
    4. Kaushik Basu & Homa Zarghamee, 2008. "Product boycott a good idea for controlling child labor? A theoretical investigation," Indian Statistical Institute, Planning Unit, New Delhi Discussion Papers 08-09, Indian Statistical Institute, New Delhi, India.
    5. Sandrine A. Koissy-Kpein, 2015. "Gender-based violence and gender bias in schooling decision: Evidence from sub-Saharan Africa," WIDER Working Paper Series 107, World Institute for Development Economic Research (UNU-WIDER).
    6. Basu, Kaushik & Zarghamee, Homa, 2005. "Is Product Boycott a Good Idea for Controlling Child Labor?," Working Papers 05-14, Cornell University, Center for Analytic Economics.
    7. Nigar Hashimzade & Uma Kambhampati, 2010. "Growth and Inverted U in Child Labour: A Dual Economy Approach," Economics & Management Discussion Papers em-dp2009-07, Henley Business School, Reading University.
    8. Basu, Kaushik & Zarghamee, Homa, 2009. "Is product boycott a good idea for controlling child labor? A theoretical investigation," Journal of Development Economics, Elsevier, vol. 88(2), pages 217-220, March.
    9. Karina Acevedo González & Raúl Quejada Pérez & Martha Yánez Contreras, 2011. "Determinantes y consecuencias del trabajo infantil: un análisis de la literatura," REVISTA FACULTAD DE CIENCIAS ECONÓMICAS, UNIVERSIDAD MILITAR NUEVA GRANADA, June.

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    Keywords

    Child labour; schooling; income; wages; India;

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