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Child Labor Use and Economic Growth: An Econometric Analysis

Directory : Faculty : Intellectual Contributions

Intellectual Contribution by Mahmood Hussain

Contribution Title

Child Labor Use and Economic Growth: An Econometric Analysis

Publication

The World Economy

Co-author

Keith E. Maskus

Year

2003

Description

Abstract:

We present a simple dynamic theory of child labor, human capital formation, and economic growth that is consistent with some of the main features of child labor and economic development. The model supports a number of testable hypotheses, which we investigate econometrically in a systems approach. Using panel data from 64 countries in the period 1960-1980, the econometric results match the theory well. The incidence of child labor is negatively related to parental human capital and education quality, but is positively correlated with education cost. Further, countries with higher amounts of child labor tend to have lower stocks of human capital in the future. There is also a convergence phenomenon between the level and growth of human capital. The lower the current stock of human capital, the higher is current child-labor use and the faster is the growth rate of human capital.

Complete Citation

Hussain, Mahmood and Keith E. Maskus, "Child Labor Use and Economic Growth: An Econometric Analysis," The World Economy, Vol. 26, No. 7, 2003

Website

See Faculty: Mahmood Hussain

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