“Be it resolved that careful use of child labour is a positive force for development”

1. “Be it resolved that careful use of child labour is a positive force for development” The pro-team: Basia Pakula, Rhonda Byers, Aldea Wood

2. Introduction • The question of morality • “Exploitation, understood as inhumane working conditions, is something to be avoided per se, regardless of the age of the worker” (Journal of International Affairs, Fall 2001)

3. Child Labour in Perspective • The different perceptions of child labour: • Developed vs. LDCs • Child labour was at one time prevalent throughout the world • “Statistics show that child labour did not start declining in Britain and the United States until the second half of the 19th C.” (Lopez-Calva, 2001) • “Child labour is more common in rural communities than in urban centres” (International Council of Nurses, 2000)

4. Child Labour in Perspective • Stages of Growth: • LDC’s are currently in the early stages of growth • Large population • Low life expectancy • Largely agricultural based economy • No insurance/no welfare • Little skilled labour; comparative advantage mainly derived from labour intensive production

5. The demographic structure

6. Child Labour: Why is it good for development? • Income rises: • “Working children have been shown to contribute up to almost 90% of the family income” (Scanlon et al., 2002) • Peru and Pakistan: Children in developing countries make a perceptible contribution to pulling their families out of poverty (Ranjan, 2000)

7. Peru and Pakistan Case Source: Ranjan, 2000

8. Child Labour: Why is it good for development? • Reduces migration to urban centres: • Dr. Devoretz: “The key to development is clean water, televisions, birth control, and keeping population in the rural areas.” • “Two-thirds of child workers live in the countryside: 20% of them are between 5 and 9 years old, compared with only 5% in this same age bracket in towns and cities” (International Labour Organization, 1999) • Allowing low wage child labour in agriculture helps exploit comparative advantage of LDC’s and further develops the agricultural sector

9. Child Labour: Why is it good for development? • Western anti-child labour arguments: A form of protectionism? • The International Labour Standards (ILS) is an instrument of developed nations to take hidden protectionist measures against LDC’s • The strongest opponents to ILS agreements are the countries who are meant to benefit from them, the LDC’s

10. Child Labour: Why is it good for development? • “ILS are usually supported by powerful lobbies in developed nations, such as labour unions interested in protecting local industries from competitive trade” (Lopez-Calva, 2001) • Protectionist measures (such as banning imports of goods produced by children) restrict the exports of LDC’s which actually impedes the decline of child labour. This is because the more export-oriented industries become, the less likely they are to use child labour since a higher level of technical sophistication is required. (ibid)

11. Why child labour is preferable to alternatives • Child labour negatively impacts human capital accumulation: effects on health and education • Health: • hazardous work is not part of this debate; • Regardless of negative impacts on health, careful use of child labour which increases family income is positive for health (money for food and medication) • Education • “It is not clear that child labour is an important factor in temporary absences from school” (Ravallion et al, 2000)

12. Why child labour is preferable to alternatives: Bangladesh Case Source: Ravallion and Wodon, 2000

13. Why child labour is preferable to alternatives • Education cont: • “school attendance and learning are not synonymous: the returns to education for poor children are often relatively low, largely because of the poor quality of available schools” (Anker, 2000) • “In too many schools children are crowded into small rooms, thereby creating an environment conducive to transmission of disease: they are subjected to mental abuse, being repeatedly criticized and humiliated, and they are subjected to physical abuse where corporal punishment is used.” (ibid)

14. Conclusion • “Although it is intuitive and morally compelling that (…) child labour should be eliminated, banning it in poor countries is unlikely to be welfare improving and can come at the expense of human capital accumulation.” (Dessy, 2001) • Careful use of child labour is a positive force for development