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Incidence Of Child Labour, Free Education Policy And Economic Liberalization In A Developing Economy

  • Sarbajit Chaudhuri

    (Dept. of Economics, Calcutta University)

The paper analyzes the implications of a subsidy policy on education and different liberalized trade and investment policies on the incidence of child labour in a developing economy in terms of a three-sector general equilibrium model with informal sector and child labour. The supply function of child labour is endogenously determined. The paper shows that different policies, if undertaken concurrently, may produce mutually contradictory effects, thereby producing little or no impact on the incidence of child labour. The paper provides a theoretical answer as to why the incidence of child labour has not significantly declined in the developing economies in spite of economic development and globalization.

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File URL: http://econwpa.repec.org/eps/lab/papers/0511/0511010.pdf
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Paper provided by EconWPA in its series Labor and Demography with number 0511010.

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Length: 30 pages
Date of creation: 09 Nov 2005
Date of revision:
Handle: RePEc:wpa:wuwpla:0511010
Note: Type of Document - pdf; pages: 30
Contact details of provider: Web page: http://econwpa.repec.org

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  1. Jafarey, Saqib & Lahiri, Sajal, 2002. "Will trade sanctions reduce child labour?: The role of credit markets," Journal of Development Economics, Elsevier, vol. 68(1), pages 137-156, June.
  2. Basu, Kaushik, 1998. "Child labor : cause, consequence, and cure, with remarks on International Labor Standards," Policy Research Working Paper Series 2027, The World Bank.
  3. Sonia Bhalotra, 2003. "Child Labour in Africa," OECD Social, Employment and Migration Working Papers 4, OECD Publishing.
  4. Sonia Bhalotra, 2000. "Is child work necessary?," LSE Research Online Documents on Economics 6652, London School of Economics and Political Science, LSE Library.
  5. Chandra, Vandana & Khan, M Ali, 1993. "Foreign Investment in the Presence of an Informal Sector," Economica, London School of Economics and Political Science, vol. 60(237), pages 79-103, February.
  6. Swaminathan, Madhura, 1998. "Economic growth and the persistence of child labor: Evidence from an Indian city," World Development, Elsevier, vol. 26(8), pages 1513-1528, August.
  7. Ranjan, Priya, 2001. "Credit constraints and the phenomenon of child labor," Journal of Development Economics, Elsevier, vol. 64(1), pages 81-102, February.
  8. Sarbajit Chaudhuri, 2003. "How and how far to liberalize a developing economy with informal sector and factor market distortions," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 12(4), pages 403-428.
  9. Basu, Kaushik & Van, Pham Hoang, 1998. "The Economics of Child Labor," American Economic Review, American Economic Association, vol. 88(3), pages 412-27, June.
  10. Gupta, Manash Ranjan, 1997. "Foreign Capital and the Informal Sector: Comments," Economica, London School of Economics and Political Science, vol. 64(254), pages 353-63, May.
  11. Ray, R., 1999. "Poverty, Household Size and Child Welfare in India," Papers 1999-01, Tasmania - Department of Economics.
  12. Grinols, Earl L, 1991. "Unemployment and Foreign Capital: The Relative Opportunity Costs of Domestic Labour and Welfare," Economica, London School of Economics and Political Science, vol. 58(229), pages 107-21, February.
  13. Sarbajit Chaudhuri & Jayanta Kumar Dwibedi, 2006. "Trade Liberalization in Agriculture in Developed Nations and Incidence of Child Labour in a Developing Economy," Bulletin of Economic Research, Wiley Blackwell, vol. 58(2), pages 129-150, 04.
  14. Dessy, Sylvain E., 2000. "A defense of compulsive measures against child labor," Journal of Development Economics, Elsevier, vol. 62(1), pages 261-275, June.
  15. Ranjan, Priya, 1999. "An economic analysis of child labor," Economics Letters, Elsevier, vol. 64(1), pages 99-105, July.
  16. Gupta, Manash Ranjan, 2000. "Wage Determination of a Child Worker: A Theoretical Analysis," Review of Development Economics, Wiley Blackwell, vol. 4(2), pages 219-28, June.
  17. Martin Shubik, 2001. "On Understanding Money," World Economics, World Economics, Economic & Financial Publishing, 1 Ivory Square, Plantation Wharf, London, United Kingdom, SW11 3UE, vol. 2(1), pages 95-120, January.
  18. Sarbajit Chaudhuri & Manash Ranjan Gupta, 2005. "Child Labour And Trade Liberalization In A Developing Economy," Labor and Demography 0510017, EconWPA.
  19. 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.
  20. Jimenez, E. & Lockheed, M.E., 1995. "Public and Private Secondary Education in Developing Countries. A Comparative Study," World Bank - Discussion Papers 309, World Bank.
  21. Hoekman, Bernard & Anderson, Kym, 1999. "Developing country agriculture and the new trade agenda," Policy Research Working Paper Series 2125, The World Bank.
  22. Bedi, Arjun S. & Garg, Ashish, 2000. "The effectiveness of private versus public schools: the case of Indonesia," Journal of Development Economics, Elsevier, vol. 61(2), pages 463-494, April.
  23. Ray, R., 1998. "Analysis of Child Labour in Peru and Pakistan: a Comparative Study," Papers 1998-05, Tasmania - Department of Economics.
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