Determinants of Child Labour and School Attendance: The Role of Household Unobservables
We develop a random effects multinomial logit model to distinguish between unobserved and observed household characteristics as determinants of child labor and school attendance. Using a semi-parametric approach, the random effect is drawn from a discrete distribution of latent classes of households. The results show that household-level unobserved heterogeneity is substantial. Household-level unobserved heterogeneity swamps observed income and wealth heterogeneity. Households that belong to the class with a high latent propensity to send their children to work are not influenced by marginal changes in the explanatory variables. Households most sensitive to changes in explanatory variables are those with a high propensity to have their children neither in school nor working. Policy interventions and changes in external conditions are likely to produce large changes in the behavior of this group of families.
|Date of creation:||Dec 2002|
|Date of revision:|
|Contact details of provider:|| Postal: Via Panisperna 28, 00184 Rome, Italy|
Phone: +39 06 4341 2008
Fax: +39 06 6792 197
Web page: http://www.ucw-project.org
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Keane, Michael, 1993. "Simulation estimation for panel data models with limited dependent variables," MPRA Paper 53029, University Library of Munich, Germany.
- 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.
- Ravallion, Martin & Wodon, Quentin, 2000. "Does Child Labour Displace Schooling? Evidence on Behavioural Responses to an Enrollment Subsidy," Economic Journal, Royal Economic Society, vol. 110(462), pages C158-75, March.
- George J. Borjas & Glenn T. Sueyoshi, 1993.
"A Two-Stage Estimator for Probit Models with Structural Group Effects,"
NBER Technical Working Papers
0146, National Bureau of Economic Research, Inc.
- Borjas, George J. & Sueyoshi, Glenn T., 1994. "A two-stage estimator for probit models with structural group effects," Journal of Econometrics, Elsevier, vol. 64(1-2), pages 165-182.
- Jensen, P. & Nielsen, H.S., 1996.
"Child Labour or School Attendance? Evidence from Zambia,"
96-14, Centre for Labour Market and Social Research, Danmark-.
- Peter Jensen & Helena Skyt Nielsen, 1997. "Child labour or school attendance? Evidence from Zambia," Journal of Population Economics, Springer;European Society for Population Economics, vol. 10(4), pages 407-424.
- Pudney, Stephen & Galassi, Francesco L & Mealli, Fabrizia, 1998. "An Econometric Model of Farm Tenures in Fifteenth-Century Florence," Economica, London School of Economics and Political Science, vol. 65(260), pages 535-56, November.
- Butler, J S & Moffitt, Robert, 1982. "A Computationally Efficient Quadrature Procedure for the One-Factor Multinomial Probit Model," Econometrica, Econometric Society, vol. 50(3), pages 761-64, May.
- Behrman, Jere R., 1993. "Intrahousehold distribution and the family," Handbook of Population and Family Economics, in: M. R. Rosenzweig & Stark, O. (ed.), Handbook of Population and Family Economics, edition 1, volume 1, chapter 4, pages 125-187 Elsevier.
- James J. Heckman, 2001. "Micro Data, Heterogeneity, and the Evaluation of Public Policy: Nobel Lecture," Journal of Political Economy, University of Chicago Press, vol. 109(4), pages 673-748, August.
- Browning, Martin & Francois Bourguignon & Pierre-Andre Chiappori & Valerie Lechene, 1994.
"Income and Outcomes: A Structural Model of Intrahousehold Allocation,"
Journal of Political Economy,
University of Chicago Press, vol. 102(6), pages 1067-96, December.
- Browning, M. & Bourguignon, F. & Chiappori, P.A. & Lechene, V., 1992. "Incomes and Outcomes: A structural Model of Intra-Household Allocation," DELTA Working Papers 92-23, DELTA (Ecole normale supérieure).
- Basu, Kaushik, 1998.
"Child labor : cause, consequence, and cure, with remarks on International Labor Standards,"
Policy Research Working Paper Series
2027, The World Bank.
- Kaushik Basu, 1999. "Child Labor: Cause, Consequence, and Cure, with Remarks on International Labor Standards," Journal of Economic Literature, American Economic Association, vol. 37(3), pages 1083-1119, September.
- Lung-fei Lee, .
"A Numerically Stable Quadrature Procedure for the One-Factor Random Component Discrete Choice Model,"
Computing in Economics and Finance 1997
158, Society for Computational Economics.
- Lee, Lung-fei, 2000. "A numerically stable quadrature procedure for the one-factor random-component discrete choice model," Journal of Econometrics, Elsevier, vol. 95(1), pages 117-129, March.
- Ranjan Ray, 2000.
"Analysis of child labour in Peru and Pakistan: A comparative study,"
Journal of Population Economics,
Springer;European Society for Population Economics, vol. 13(1), pages 3-19.
- Ray, R., 1998. "Analysis of Child Labour in Peru and Pakistan: a Comparative Study," Papers 1998-05, Tasmania - Department of Economics.
- Sin, Chor-Yiu & White, Halbert, 1996. "Information criteria for selecting possibly misspecified parametric models," Journal of Econometrics, Elsevier, vol. 71(1-2), pages 207-225.
- 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.
- Deb, Partha & Trivedi, Pravin K., 2002. "The structure of demand for health care: latent class versus two-part models," Journal of Health Economics, Elsevier, vol. 21(4), pages 601-625, July.
- Kim, Byung-Do & Blattberg, Robert C & Rossi, Peter E, 1995. "Modeling the Distribution of Price Sensitivity and Implications for Optimal Retail Pricing," Journal of Business & Economic Statistics, American Statistical Association, vol. 13(3), pages 291-303, July.
- Daniel McFadden & Kenneth Train, 2000. "Mixed MNL models for discrete response," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(5), pages 447-470.
- FurioCamillo Rosati & Zafiris Tzannatos, 2006. "Child Labour In Vietnam," Pacific Economic Review, Wiley Blackwell, vol. 11(1), pages 1-31, 02.
- Ranjan, Priya, 2001.
"Credit constraints and the phenomenon of child labor,"
Journal of Development Economics,
Elsevier, vol. 64(1), pages 81-102, February.
- Ranjan, P., 1999. ""Credit Constraints and the Phenomenon of Child Labor"," Papers 98-99-12, California Irvine - School of Social Sciences.
- Jain, Dipak C & Vilcassim, Naufel J & Chintagunta, Pradeep K, 1994. "A Random-Coefficients Logit Brand-Choice Model Applied to Panel Data," Journal of Business & Economic Statistics, American Statistical Association, vol. 12(3), pages 317-28, July.
When requesting a correction, please mention this item's handle: RePEc:ucw:worpap:9. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gabriella Breglia)
If references are entirely missing, you can add them using this form.