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The Economics of Child Labour$
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Alessandro Cigno and Furio Camillo Rosati

Print publication date: 2005

Print ISBN-13: 9780199264452

Published to Oxford Scholarship Online: July 2005

DOI: 10.1093/0199264457.001.0001

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(p.6) 1 Prolegomena
The Economics of Child Labour

Alessandro Cigno

Furio Camillo Rosati

Oxford University Press

Contains the building blocks of the subsequent theoretical analysis. Kaushik Basu’s model of the market for adult-equivalent labour explains child labour essentially as a consequence of binding subsistence requirements. Gary Becker’s dynastic model explains fertility decisions, and transfers from parents to children, as a consequence of altruism. The present authors explain fertility decisions, and transfers between parents and children, with the possible existence of self-enforcing family constitutions. In all three models, child labour (transfers to children) can be inefficiently high (low).

Keywords:   altruism, child labour, fertility, intergenerational transfers, self-enforcing family constitutions

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