Child Labor, Crop Shocks, and Credit Constraints
Working Paper 10088
DOI 10.3386/w10088
Issue Date
This paper examines the relationship between household income shocks and child labor. In particular, we investigate the extent to which transitory income shocks lead to increases in child labor and whether household access to credit mitigates the effects of these shocks. Using panel data from a survey in Tanzania, we find that both relationships are significant. Our results suggest that credit constraints play a role in explaining child labor and consequently that child labor is inefficient, but we also discuss alternative interpretations.
Published Versions
Beegle, Kathleen, Rajeev Dehejia, and Roberta Gatti. “Child Labor, Crop Shocks, and Credit Constraints.” Journal of Development Economics 81 (September 2006): 80-96.