A cross-national study of child labor and its determinants

This paper investigates the determinants of global child labor among countries with non-zero child labor rates. I find that the average child labor rate across countries rises with the size of the rural population, female labor force participation and fertility, whereas it falls with increases in GDP per capita, the share of public educational expenditures in gross national income, life expectancy and the share of the labor force in industry or agriculture. Over time, as GDP per capita rises and as trade expands, the child labor rate falls, whereas increases in the size of the rural population and in the female participation rate lead to increases in the child labor rate. Results indicate that the most effective ways to combat child labor are to increase GDP per capita, improve life expectancy, expand trade, increase spending on education and raise the GDP growth rate.