American Economic Review: Vol. 96 No. 5 (December 2006)
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Child Labor and the Labor Supply of Other Household Members: Evidence from 1920 America
Manacorda, Marco. 2006. "Child Labor and the Labor Supply of Other Household Members: Evidence from 1920 America." American Economic Review, 96(5): 1788-1801.
This paper exploits the variation in the legal minimum working age across states in 1920 America in order to identify households' labor supply responses to exogenous changes in children's labor force participation. Using micro data on urban households from the U.S. Census, I find evidence that as a child moves to the labor market his siblings are less likely to work and more likely to attend school. I find no significant effect on parents' labor supply. (JEL J13, J22, K31, N32)
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