The effect of FDI on child labor

• 成果类型: Article
• 署名作者: Davies, Ronald B.; Voy, Annie
• 署名单位: University of Oregon
• 刊物名称: JOURNAL OF DEVELOPMENT ECONOMICS
• ISSN/ISSBN: 0304-3878
• DOI: 10.1016/j.jdeveco.2008.02.001
• 发表日期: 2009
• 页码: 59-66
• 关键词: child labor; Foreign direct investment; international trade

摘要

This paper examines the effect of FDI on child labor. Using 1995 data for 145 countries, we find that, contrary to common fears, FDI is negatively correlated with child labor. This effect disappears when controlling for per capita income. After doing so, we find no robust effect of either FDI or international trade on child labor. This result is robust to corrections for the endogeneity of FDI, trade, and income. Furthermore, this result is confirmed using data from earlier years. This suggests that the impact of FDI and trade on child labor, if any, is the increases in income they generate. (C) 2008 Elsevier B.V. All rights reserved.