Oxford Economic Papers Advance Access originally published online on January 6, 2007
Oxford Economic Papers 2007 59(2):301-329; doi:10.1093/oep/gpl031
© Oxford University Press 2007 All rights reserved
Why do parents make their children work? A test of the poverty hypothesis in rural areas of Burkina Faso
Université Cergy-Pontoise, THEMA, 33, bd du Port, 95011 Cergy-Pontoise, France; e-mail: christelle.dumas{at}u-cergy.fr
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It is often argued that child labour is caused by poverty. However, much child labour takes place in rural areas characterized by substantial labour market imperfections. A model of rural household labour supply is developed that provides testable implications for two versions of the poverty hypothesis: that child labour is due to a binding subsistence constraint and that child leisure is a luxury good. We find that in rural Burkina Faso children do not provide labour to meet households' subsistence needs and that child leisure is a normal good. The evidence suggests that labour market imperfections are a main reason for using child labour.
Key Words: JEL Classifications: D13 I32 J22 012 Q12
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