Food for Education Versus School Quality: A Comparison of Policy Options to Reduce Child Labour

26 Pages Posted: 1 Apr 2005

See all articles by Saqib Jafarey

Saqib Jafarey

University of Liverpool Management School (ULMS) - Economics Division

Sajal Lahiri

Southern Illinois University Carbondale - Department of Economics

Abstract

In a model in which credit markets play a crucial role, we examine two policy options for reducing child labour, 'food for education' and 'investment in education quality,' With an imperfectly elastic supply of credit, an increase in food subsidy is more effective in reducing child labour than an 'income-equivalent' increase in expenditures in education quality. The effectiveness of the latter policy improves, and the optimal share of resources devoted to this policy increases, at the expense of food subsidies, as the supply of credit becomes more elastic.

JEL Classification: H52, O10

Suggested Citation

Jafarey, Saqib and Lahiri, Sajal, Food for Education Versus School Quality: A Comparison of Policy Options to Reduce Child Labour. Canadian Journal of Economics, Vol. 38, No. 2, pp. 394-419, May 2005. Available at SSRN: https://ssrn.com/abstract=696951

Saqib Jafarey (Contact Author)

University of Liverpool Management School (ULMS) - Economics Division ( email )

Eleanor Rathbone Building
Bedford Street North
Liverpool L69 7ZA
United Kingdom

Sajal Lahiri

Southern Illinois University Carbondale - Department of Economics ( email )

MC 415
1000 Faner Drive
Carbondale, IL 62901
United States

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