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Replication Data for: Trade Openness, Foreign Direct Investment and Child Labor (with Indra De Soysa), World Development, 33 (1), 2005, pp. 43-63

Harvard Dataverse (Africa Rice Center, Bioversity International, CCAFS, CIAT, IFPRI, IRRI and WorldFish)

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Title Replication Data for: Trade Openness, Foreign Direct Investment and Child Labor (with Indra De Soysa), World Development, 33 (1), 2005, pp. 43-63
 
Identifier https://doi.org/10.7910/DVN/6HAXGP
 
Creator Neumayer, Eric
 
Publisher Harvard Dataverse
 
Description The skeptics of globalization argue that increased trade openness and foreign direct
investment induce developing countries to keep labor costs low, for example, by letting children
work. This article argues that there are good theoretical reasons why globalization might actually
have the opposite effect.We test this with various measures of childlabor and providethe first anal-
ysis of foreign investment in addition to trade. We present evidence that countries that are more
open to trade and/or have a higher stock of foreign direct investment also have a lower incidence
of child labor. This holds for the labor force participation rate of 10–14-year old children, the sec-
ondary school nonattendance rate and a count measure of economic sectors with child labor inci-
dence as the dependent variables. Globalization is associated with less, not more, child labor
 
Subject Social Sciences
child labor
trade
FDI
globalization
MNCs
sanctions
 
Contributor Neumayer, Eric