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Intrinsic Competition and the Labor-Schooling Trade-off in Uganda Competition in Child Labor and Schooling Decision Making in Uganda. Evidence from a Bivariate Probit Model

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  • Bernhard Ganglmair

    (Bonn Graduate School of Economics)

Abstract

I argue that a households interdependent decisions over their childrens labor and school activities are not only a function of observable hard facts but also of its intrinsic values and beliefs. Applying econometric methods, after all observable factors have been controlled for, the degree to which these joint decisions over these two activities are correlated can be seen as the intrinsic competition households and children face. This coefficient of the labor-school trade-off is not associated with any observable variables and should therefore be object of future research in the field. In the empirical study, quite recent and hardly discussed data from Uganda is used for the joint estimation of child labor and school attendance applying a bivariate probit model. The results shed light on the degree of the unobserved or intrinsic competition between labor and school attendance. Results implying a stronger trade-off between these two decisions in urban than rural areas and stronger for girls than for boys are obtained. Especially rural boys have a considerably higher tendency to combine their labor activities with schooling while the obtained trade-off implies for girls to specialize. Results seem to be driven by unobserved cost-related factors, no clear explanation on this, however, is found.

Suggested Citation

  • Bernhard Ganglmair, 2005. "Intrinsic Competition and the Labor-Schooling Trade-off in Uganda Competition in Child Labor and Schooling Decision Making in Uganda. Evidence from a Bivariate Probit Model," Labor and Demography 0504002, EconWPA, revised 21 Sep 2005.
  • Handle: RePEc:wpa:wuwpla:0504002
    Note: Type of Document - pdf; pages: 27
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    File URL: https://econwpa.ub.uni-muenchen.de/econ-wp/lab/papers/0504/0504002.pdf
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    References listed on IDEAS

    as
    1. Canagarajah, Sudharshan & Coulombe, Harold, 1997. "Child labor and schooling in Ghana," Policy Research Working Paper Series 1844, The World Bank.
    2. Weeks, M. & Orne, C., 1999. "The Statistical Relationship between Bivariate and Multinomial Choice Models," Cambridge Working Papers in Economics 9912, Faculty of Economics, University of Cambridge.
    3. Sarmistha Pal, 2003. "How Much of the Gender Difference in Child School Enrolment Can Be Explained? Evidence from Rural India," HEW 0309004, EconWPA.
    4. Pushkar Maitra & Ranjan Ray, 2002. "The Joint Estimation of Child Participation in Schooling and Employment: Comparative Evidence from Three Continents," Oxford Development Studies, Taylor & Francis Journals, vol. 30(1), pages 41-62.
    5. 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.
    6. Alec Fyfe & Frans Roselaers & Zafiris Tzannatos & Furio Rosati, 2003. "Understanding Children's Work: An Interagency Data and Research Cooperation Project," World Bank Economic Review, World Bank Group, vol. 17(2), pages 311-314, December.
    7. George Psacharopoulos & Harry Anthony Patrinos, 1997. "Family size, schooling and child labor in Peru - An empirical analysis," Journal of Population Economics, Springer;European Society for Population Economics, vol. 10(4), pages 387-405.
    8. Blunch,Niels-Hugo & Verner,Dorte, 2000. "Revisiting the link between poverty and child labor - the Ghanaian experience," Policy Research Working Paper Series 2488, The World Bank.
    9. Nielsen, H.S., 1998. "Child Labor and School Attendance: Two Joint Decisions," Papers 98-15, Centre for Labour Market and Social Research, Danmark-.
    10. Sonia Bhalotra, and Zafiris Tzannatos, 2003. "Child labor : what have we learnt?," Social Protection and Labor Policy and Technical Notes 27872, The World Bank.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    child labor; school attendance; decision trade-off; simultaneous time allocation decision; bivariate probit; Uganda;

    JEL classification:

    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
    • J82 - Labor and Demographic Economics - - Labor Standards - - - Labor Force Composition
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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