The responses of child labor, school enrollment, and grade repetition to the loss of parental earnings in Brazil, 1982-1999
The authors evaluate the effects of idiosyncratic shocks to a father's income on his children's probability of dropping out of school, entering the labor market, or failing to advance to the next grade level. Their analysis uses a large rotating panel data set containing information on household income and child time use for households in six cities in Brazil between 1982 and 1999. They find that for children aged 10 to 15 in the poorest households, loss of earnings by the household head has adverse consequences on child time in school and chance of promotion, and that these children are more likely to enter employment. Children in higher-income households are not adversely affected. The presumption is that wealthier households can self-insure against income shocks or can borrow to smooth consumption in the face of adverse income shocks. In contrast, poor households must use other means, including child labor, to replace lost labor market earnings of adults in the household.
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- Lam. D. & Schoeni, R.F., 1996.
"Effects on Family Background on Earnings and Returns to Schooling: Evidence from Brazil,"
96-13, RAND - Reprint Series.
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- Duryea, Suzanne & Lam, David & Levison, Deborah, 2007. "Effects of economic shocks on children's employment and schooling in Brazil," Journal of Development Economics, Elsevier, vol. 84(1), pages 188-214, September.
- Flug, Karnit & Spilimbergo, Antonio & Wachtenheim, Erik, 1998.
"Investment in education: do economic volatility and credit constraints matter?,"
Journal of Development Economics,
Elsevier, vol. 55(2), pages 465-481, April.
- Karnit Flug & Antonio Spilimbergo & Erik Wachtenheim, 1996. "Investment in Education: Do Economic Volatility and Credit Constraints Matter?," Research Department Publications 4000, Inter-American Development Bank, Research Department.
- Skoufias, Emmanual & Parker, Susan W., 2002.
"Labor market shocks and their impacts on work and schooling,"
FCND discussion papers
129, International Food Policy Research Institute (IFPRI).
- Skoufias, Emmanual & Parker, Susan W., 2002. "Labor market shocks and their impacts on work and schooling," FCND briefs 129, International Food Policy Research Institute (IFPRI).
- Eric Edmonds, 2007.
- Suzanne Duryea, 1998.
"Children's Advancement Through School in Brazil: The Role of Transitory Shocks to Household Income,"
Research Department Publications
4124, Inter-American Development Bank, Research Department.
- Suzanne Duryea, 1998. "Children's Advancement Through School in Brazil: The Role of Transitory Shocks to Household Income," IDB Publications (Working Papers) 5679, Inter-American Development Bank.
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