The Impact of Wealth on the Amount and Quality of Child Labor
This paper analyzes to what extent, and under what conditions, an increase in household wealth affects the use of child labor in poor households. It develops a simple theoretical model, which uses child labor, training, and schooling to maximize ho...
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| Format: | Policy Research Working Paper |
| Language: | English |
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2012
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| Online Access: | http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20120130155316 http://hdl.handle.net/10986/3244 |
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okr-10986-32442021-04-23T14:02:08Z The Impact of Wealth on the Amount and Quality of Child Labor Del Carpio, Ximena V. Loayza, Norman V. ACCESS TO SERVICES ACCOUNT ADVERSE EFFECTS ATTRITION BORROWING CAPITAL INVESTMENT CHILD EDUCATION CHILD LABOR CHILD LABOR DECLINE CHILD LABOR DECLINES CHILD LABOUR CHILD WORK CLERICAL WORK DAY LABORERS DEVELOPMENT ECONOMICS ECONOMIC GROWTH ECONOMICS EDUCATIONAL LEVEL FINANCIAL MARKETS HOUSEHOLD CHARACTERISTICS HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD SURVEYS HOUSEHOLD WEALTH HUMAN CAPITAL HUMAN RESOURCES INCOME JOBS LABOR ALLOCATION LABOR ALLOCATIONS LABOR ECONOMICS LABOR MARKET LABOR MARKETS LABOR OFFICE LABOR PRODUCTIVITY MALE-HEADED HOUSEHOLDS MORAL HAZARD MOTIVATION OCCUPATION OCCUPATIONS OLDER CHILDREN OPTIMAL ALLOCATION PARENTS POLITICAL ECONOMY PRESENT VALUE PREVIOUS SECTION PRIMARY SCHOOL PRODUCTION FUNCTION PRODUCTIVE ACTIVITY PROGRAM DESIGN PUBLIC SECTOR JOB RENTS SAFETY SAFETY NET SCHOOL ATTENDANCE SKILLED LABOR SMALL BUSINESS SOCIAL PROTECTION TECHNICAL ASSISTANCE TRAINING COURSE WORK ACTIVITIES WORKER WORKERS YOUNG ADULTS This paper analyzes to what extent, and under what conditions, an increase in household wealth affects the use of child labor in poor households. It develops a simple theoretical model, which uses child labor, training, and schooling to maximize household income over time, subject to resource constraints. Then, it conducts an empirical analysis using randomized trial data, which were collected for the evaluation of the 2006 Nicaragua conditional cash transfer program. This social program transfers wealth to poor families in rural areas, conditional on children's school attendance and health check-ups. In addition, for one third of the beneficiaries, there is a further wealth transfer to start a non-agricultural business. The paper finds that the conditional cash transfer program affected the volume and quality of child labor, reducing it in the aggregate and steering it towards skill-forming activities. Specifically, the program appears to have reduced the use of child labor for household chores and farm work, while increasing it for the non-traditional, skill-forming activities related to commerce and retail. Moreover, the paper finds that the source behind the increase in skill-forming child labor is not the basic component, which provides a transfer for paying for schooling and health services, but it's the business-grant component, which provides a household grant for the creation of a micro business or a new economic activity. 2012-03-19T17:28:59Z 2012-03-19T17:28:59Z 2012-01-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20120130155316 http://hdl.handle.net/10986/3244 English Policy Research working paper ; no. WPS 5959 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper The World Region The World Region |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
ACCESS TO SERVICES ACCOUNT ADVERSE EFFECTS ATTRITION BORROWING CAPITAL INVESTMENT CHILD EDUCATION CHILD LABOR CHILD LABOR DECLINE CHILD LABOR DECLINES CHILD LABOUR CHILD WORK CLERICAL WORK DAY LABORERS DEVELOPMENT ECONOMICS ECONOMIC GROWTH ECONOMICS EDUCATIONAL LEVEL FINANCIAL MARKETS HOUSEHOLD CHARACTERISTICS HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD SURVEYS HOUSEHOLD WEALTH HUMAN CAPITAL HUMAN RESOURCES INCOME JOBS LABOR ALLOCATION LABOR ALLOCATIONS LABOR ECONOMICS LABOR MARKET LABOR MARKETS LABOR OFFICE LABOR PRODUCTIVITY MALE-HEADED HOUSEHOLDS MORAL HAZARD MOTIVATION OCCUPATION OCCUPATIONS OLDER CHILDREN OPTIMAL ALLOCATION PARENTS POLITICAL ECONOMY PRESENT VALUE PREVIOUS SECTION PRIMARY SCHOOL PRODUCTION FUNCTION PRODUCTIVE ACTIVITY PROGRAM DESIGN PUBLIC SECTOR JOB RENTS SAFETY SAFETY NET SCHOOL ATTENDANCE SKILLED LABOR SMALL BUSINESS SOCIAL PROTECTION TECHNICAL ASSISTANCE TRAINING COURSE WORK ACTIVITIES WORKER WORKERS YOUNG ADULTS |
| spellingShingle |
ACCESS TO SERVICES ACCOUNT ADVERSE EFFECTS ATTRITION BORROWING CAPITAL INVESTMENT CHILD EDUCATION CHILD LABOR CHILD LABOR DECLINE CHILD LABOR DECLINES CHILD LABOUR CHILD WORK CLERICAL WORK DAY LABORERS DEVELOPMENT ECONOMICS ECONOMIC GROWTH ECONOMICS EDUCATIONAL LEVEL FINANCIAL MARKETS HOUSEHOLD CHARACTERISTICS HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD SURVEYS HOUSEHOLD WEALTH HUMAN CAPITAL HUMAN RESOURCES INCOME JOBS LABOR ALLOCATION LABOR ALLOCATIONS LABOR ECONOMICS LABOR MARKET LABOR MARKETS LABOR OFFICE LABOR PRODUCTIVITY MALE-HEADED HOUSEHOLDS MORAL HAZARD MOTIVATION OCCUPATION OCCUPATIONS OLDER CHILDREN OPTIMAL ALLOCATION PARENTS POLITICAL ECONOMY PRESENT VALUE PREVIOUS SECTION PRIMARY SCHOOL PRODUCTION FUNCTION PRODUCTIVE ACTIVITY PROGRAM DESIGN PUBLIC SECTOR JOB RENTS SAFETY SAFETY NET SCHOOL ATTENDANCE SKILLED LABOR SMALL BUSINESS SOCIAL PROTECTION TECHNICAL ASSISTANCE TRAINING COURSE WORK ACTIVITIES WORKER WORKERS YOUNG ADULTS Del Carpio, Ximena V. Loayza, Norman V. The Impact of Wealth on the Amount and Quality of Child Labor |
| geographic_facet |
The World Region The World Region |
| relation |
Policy Research working paper ; no. WPS 5959 |
| description |
This paper analyzes to what extent, and
under what conditions, an increase in household wealth
affects the use of child labor in poor households. It
develops a simple theoretical model, which uses child labor,
training, and schooling to maximize household income over
time, subject to resource constraints. Then, it conducts an
empirical analysis using randomized trial data, which were
collected for the evaluation of the 2006 Nicaragua
conditional cash transfer program. This social program
transfers wealth to poor families in rural areas,
conditional on children's school attendance and health
check-ups. In addition, for one third of the beneficiaries,
there is a further wealth transfer to start a
non-agricultural business. The paper finds that the
conditional cash transfer program affected the volume and
quality of child labor, reducing it in the aggregate and
steering it towards skill-forming activities. Specifically,
the program appears to have reduced the use of child labor
for household chores and farm work, while increasing it for
the non-traditional, skill-forming activities related to
commerce and retail. Moreover, the paper finds that the
source behind the increase in skill-forming child labor is
not the basic component, which provides a transfer for
paying for schooling and health services, but it's the
business-grant component, which provides a household grant
for the creation of a micro business or a new economic activity. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Del Carpio, Ximena V. Loayza, Norman V. |
| author_facet |
Del Carpio, Ximena V. Loayza, Norman V. |
| author_sort |
Del Carpio, Ximena V. |
| title |
The Impact of Wealth on the Amount and Quality of Child Labor |
| title_short |
The Impact of Wealth on the Amount and Quality of Child Labor |
| title_full |
The Impact of Wealth on the Amount and Quality of Child Labor |
| title_fullStr |
The Impact of Wealth on the Amount and Quality of Child Labor |
| title_full_unstemmed |
The Impact of Wealth on the Amount and Quality of Child Labor |
| title_sort |
impact of wealth on the amount and quality of child labor |
| publishDate |
2012 |
| url |
http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20120130155316 http://hdl.handle.net/10986/3244 |
| _version_ |
1764386667596087296 |