Relative wage, child labor, and human capital

C. Fan ()

Oxford Economic Papers, 2004, vol. 56, issue 4, 687-700

Abstract: This paper analyses child labor and children's human capital formation in response to the changes of the relative wage-productivity between child labor and adult labor. It implies that because children's labor market participation raises the financial resources spent on their education, a small increase in child labor may enhance children's human capital. It also shows that in a poor economy, the laws that punish or partially deter child labor may result in children working more and accumulating less human capital. Copyright 2004, Oxford University Press.

Date: 2004
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