Compulsory Schooling Laws and the Cure Against Child Labor

15 Pages Posted: 10 Oct 2000

See all articles by Giorgio Bellettini

Giorgio Bellettini

University of Bologna - Department of Economics; CESifo (Center for Economic Studies and Ifo Institute)

Carlotta Berti Ceroni

University of Bologna - Department of Economics

Date Written: January 20, 2004

Abstract

This paper provides an explanation for the existence of child labor which relies on the imperfect enforcement of compulsory schooling laws. In the presence of complementarities in the production of human capital that justify legislative intervention, mandatory measures ensure that coordination failures are solved so that all parents send their children to school and the socially optimal equilibrium is reached. However, if enforcement of legislation is too low, multiple equilibria emerge. In this case, compulsory schooling laws may have adverse welfare effects on all households.

JEL Classification: E62, I28, J24

Suggested Citation

Bellettini, Giorgio and Berti Ceroni, Carlotta, Compulsory Schooling Laws and the Cure Against Child Labor (January 20, 2004). Available at SSRN: https://ssrn.com/abstract=240988 or http://dx.doi.org/10.2139/ssrn.240988

Giorgio Bellettini (Contact Author)

University of Bologna - Department of Economics ( email )

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I-40126 Bologna
Italy
+39 051 2098136 (Phone)
+39 051 2098040 (Fax)

HOME PAGE: http://sites.google.com/site/giorgiobellettiniwebpage/

CESifo (Center for Economic Studies and Ifo Institute) ( email )

Poschinger Str. 5
Munich, DE-81679
Germany

Carlotta Berti Ceroni

University of Bologna - Department of Economics ( email )

Piazza Scaravilli 2
I-40126 Bologna
Italy
+39 051 2098017 (Phone)
+39 051 2098040 (Fax)

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