Child Labour and Inequality

Fioroni, Tamara and D'Alessandro, Simone (2013): Child Labour and Inequality.

Abstract

This paper focuses on the evolution of child labour, fertility and human capital in an economy characterized by two types of workers, low- and high-skilled. This heterogeneity allows an endogenous analysis of inequality generated by child labour. More specifically, according to empirical evidence, we offer an explanation for the emergence of a vicious cycle between child labour and inequality. The basic intuition behind this result arises from the interdependence between child labour and fertility decisions. Furthermore, we investigate how child labour regulation policies can influence the welfare of the two groups in the short run, and the income distribution in the long run. We find that conflicts of interest may arise between the two groups.

• Item Type: MPRA Paper
• Language: English
• Keywords: Child Labour, Fertility, Human capital, Inequality.
• Subjects: J - Labor and Demographic Economics > J1 - Demographic Economics > J13 - Fertility ; Family Planning ; Child Care ; Children ; Youth; J - Labor and Demographic Economics > J2 - Demand and Supply of Labor > J24 - Human Capital ; Skills ; Occupational Choice ; Labor Productivity; J - Labor and Demographic Economics > J8 - Labor Standards: National and International > J82 - Labor Force Composition; K - Law and Economics > K3 - Other Substantive Areas of Law > K31 - Labor Law

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