Incidence of child labour is a disturbing feature of an emerging market economy. In the present article, we will try to explore whether globalization policies, namely, agricultural trade liberalization and methods aimed at attracting foreign direct investment (FDI), have had any negative impact on the incidence of child labour in a developing economy. We will also examine whether decrease in incidence of child labour would increase social welfare and welfare of the child labour-supplying family unambiguously. For our work, we use a three-sector general equilibrium structure. We intend to highlight that effects of globalization are crucially dependent on factor-intensity ranking and factor specificity. Multiple cross effects that are present in a three-sector general equilibrium structure are the driving forces behind the results.
AdmassieA. (2002). Exploring the high incidence of child labor in Sub Saharan Africa. African Development Review, 14(2), 251–275.
2.
BalandJ.RobbinsonJ.A. (2000). Is child labour inefficient?Journal of Political Economy, 108(4), 663–679.
3.
BasuK. (1999). Child labour: Cause, consequence and cure, with remarks on international labour standards. Journal of Economic Literature, 37(September), 1083–1119.
4.
BasuK.TzannatosZ. (2003). The global child labour problem: What do we know and what can we do?World Bank Economic Review, 17(2), 147–173.
5.
BasuK.VanP.H. (1998). The economics of child labour. American Economic Review, 88(3), 412–427.
6.
BhalotraS.HeadyC. (2002). Child farm labor: The wealth paradox, social protection. Discussion Paper No. 0220, The World Bank, Washington, DC.
7.
ChaudhuriS. (2004). Incidence of child labour, free education policy and economic liberalization in a developing economy. The Pakistan Development Review, 43(1), 1–25.
8.
ChaudhuriS. (2010). Foreign capital, return to education and child labour. International Review of Economics & Finance, 19(2), 278–286.
9.
ChaudhuriS. (2011). Labor market reform and incidence of child labor in a developing economy. Economic Modelling, 28(4), 1923–1930.
10.
ChaudhuriS.DwibediJ.K. (2006). Trade liberalization in agriculture in developed nations and incidence of child labour in a developing economy. Bulletin of Economic Research, 58(2), 129–150.
11.
ChaudhuriS.GuptaM.R. (2004). Child labour and trade liberalization in a developing economy. Japanese Economic Review, 55(2), 201–211.
12.
ChaudhuriS.MukhopadhayayU. (2003). Free education policy and trade liberalization: Consequences on child and adult labor markets in a small open economy. Journal of Economic Integration, 18(2), 336–359.
13.
DessyS.E. (2000). A defense of compulsive measures against child labor. Journal of Development Economics, 62(1), 261–275.
14.
Economic Survey. (1999).
15.
Economic Survey. (2005-06).
16.
EdmondsE. (2001). ‘Will child labor decline with improvements in living standards? Dartmouth College Working Paper No. 01-09.
17.
EdmondsE.PavcnikN. (2004). The effect of trade liberalization on child labour. NBER Working Paper No. 8760.
Food and Agriculture Organization (FAO). (2004). The state of agricultural commodity markets. Retrieved from http://www.fao.org
20.
GrootaertC.PatrinosH. (Eds). (1999). The policy analysis of child labor. New York: St. Martin’s Press.
21.
GrootaertC.PatrinosH. (Eds). (2002). Trade sanctions, adult unemployment and the supply of child labour: A theoretical analysis. Development Policy Review, 20(3), 317–332.
22.
JafareyS.LahiriS. (2002). Will trade sanctions reduce child labor? The role of credit markets. Journal of Development Economics, 68(1), 137–156.
23.
International Labour Organization (ILO) (2010). New ILO global report on child labour—As efforts to end child labour slow, ILO calls for ‘re-energized’ global action. Retrieved on 12 February 2010, from http://www.ilo.org
24.
MarjitS.AcharyyaR. (2003). Diverse Trade Pattern, Complementarity and Fragmentation. International Trade, Wage Inequality and the Developing economy- A General Equilibrium Approach (pp. 95-110).
25.
RanjanP. (2001). An economic analysis of child labor. Economic Letters, 64(1), 99–105.
26.
World Development Report. (2008). Available at official website of World Bank.
