Globalisation Can Help Reduce Child Labour

Alessandro Cigno

CESifo Economic Studies, 2003, vol. 49, issue 4, 515-526

Abstract: Whether globalisation is good or bad for child labour depends on initial conditions and domestic policies. In countries with comparatively large endowments of educated workers, pulling down trade barriers is a policy that, together with measures aimed at relaxing the household liquidity constraint, would help reduce child labour. By contrast, in countries with a largely uneducated workforce, pulling down trade barriers may make the problem worse. In such countries, the objective of policy should be to raise the private return to education by reducing the private cost of schooling, and raising life expectancy. (JEL D13, F12, I20, J13, J24, O15)

Date: 2003
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