Development Economics Essay Example | Topics and Well Written Essays - 1500 words

Development Economics - Essay Example(Das 2001, p. 25) It is a disturbing phenomenon, which, in the wake of globalization, has been escalated into a full winded international crisis.Various studies point to several factors responsible for nestling project. These include lack of education, poverty, insufficient legislation and, if there be in place, their poor enforcement, family background, culture, growth and backward technologies, among others. The economic factor in the problem seems to take the most responsibility as statistics and literature on the subject have shown - child labour is prevalent in low-income countries. Hence, we will examine the issue in this perspective.Basically child labour constitutes a market with its own buyers and sellers coming unitedly where much(prenominal) labour is exchanged for a price and, therefore, subject to the laws of supply and demand. According to Sayan Chakrabarty, the market includes those who provide child labour, such as household s the children live in, and those who utilize it and that together both sides influence the incidence of child labour its amount and productivity. (p. 17) To quoteThe more pressure exerted on the supply side (i.e. the more households offer child labor), the less productive and remunerated this labor will tend to be. The more pressure is exerted in the demand side (i.e. the more uses for child labor ar generated), the more productive and remunerated it will be. (p. 18)The Basu-Van model examines the relationship of poverty to child labour more specifically. In this model, it is argued that labour markets in low income economies are often characterized by multiple equilibria. This means that there are several possibilities in its incidence. One possibility is the prevalence of low (adult) wages, which are not teeming to feed a family, and in such situations parents are compelled to send their children to work. (p. 412-27) The labour market equilibrium in this case involves particip ation of