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FREE EDUCATION POLICY AND TRADE LIBERALIZATION: CONSEQUENCES ON CHILD AND ADULT LABOUR MARKETS IN A SMALL OPEN ECONOMY

Sarbajit Chaudhuri () and Ujjaini Mukhopadhyay
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Ujjaini Mukhopadhyay: Dept. of Economics, Calcutta University, India

Labor and Demography from EconWPA

Abstract: The paper purports to examine the implications of a free education policy and trade liberalization on the child and adult labour markets in the set-up of a Harris-Todaro type general equilibrium model. It has been found that a hike in the education subsidy or inflow of foreign capital may produce counterproductive results on the supply of child labour in the urban area. Moreover, these policies mar raise the level of urban unemployment of adult labour even when two types of labour are not substitutes to each other. The average income of the urban poor families may also decrease as a consequence.

Keywords: Child labour; urban unemployment of adult labour; general equilibrium; education subsidy; trade liberalization (search for similar items in EconPapers)
JEL-codes: F10 J10 J13 I28 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-dev, nep-edu, nep-int and nep-ure
Date: 2005-10-23
Note: Type of Document - pdf; pages: 21
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Related works:
Journal Article: Free Education Policy and Trade Liberalization: Consequences on Child and Adult Labour Markets in a Small Open Economy (2003)
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