The effect of parental labor supply on child schooling: Evidence from trade liberalization in India

Type Working Paper
Title The effect of parental labor supply on child schooling: Evidence from trade liberalization in India
Author(s)
Publication (Day/Month/Year) 2012
URL http://econpapers.repec.org/RePEc:ris:albaec:2011_021
Abstract
This paper estimates the eect of changes in maternal and paternal labor supply on the schooling rates of children in India using the variation in industry-specic taris during a period of trade liberalization. The results show that an increase in maternal labor supplied outside of the household leads to a higher schooling probability for younger children. Specically, a one day per week increase in maternal labor supply is associated with an approximately 5 percentage point increase in the schooling probability for children between the ages of 7 and 10. The results hold with a higher magnitude once we account for the endogenous fertility choices. However, father's labor supply has insignicant effect on child schooling across all specications. The eect for older children between the ages of 11 and 14, who face a tradeo between schooling, market work, and domestic work, is found to be insignicant.

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