Discuss Kaushik basu model for child labor

Expert Solution

Kaushik basu model states that the child labor as a mass phenomenon would not arise due to the parental selfishness however because of their concern for the survival of the household due to the poverty, the famous argument for ban of the child labor loses much of its force. If a ban is imposed on children labor, and in the market usually the adult and child are usually substitutes; thus with ban of child labor there will be short of labor. With the excess demand for labor, the wages of adults will increase. With the rise in income parents would not be willing to send their children to work. Thus the ban can become redundant. To summarize, once an imposed bad becomes an unnecessary ban. As a result this assumption related to the parental decision-making and substitute ability in production between adult and child labor could cause multiple equilibria in the labor market, wherein one equilibrium where there is child labor and another where wage of adults is high and children do not work

Rahul Sunny answered 2 months ago

The Department of Labor is the sole federal agency that monitors child labor and enforces child...

The Department of Labor is the sole federal agency that monitors child labor and enforces child labor laws. The most sweeping federal law that restricts the employment and abuse of child workers is the Fair Labor Standards Act (FLSA). Child labor provisions under FLSA are designed to protect the educational opportunities of youth and prohibit their employment in jobs that are detrimental to their health and safety. FLSA restricts the hours that youth under 16 years of age can work and lists hazardous...

Basu owns 100% of an S corporation. This year, the corporation paid Basu a salary of...

Basu owns 100% of an S corporation. This year, the corporation paid Basu a salary of $111,000. Basu's share of S corporation income for the year was $44,400. Assume that this is Basu's only income for the year. Compute any resulting payroll and self-employment income taxes. Assume the Social Security rate is 6.2% and Medicare rate is 1.45%. If an amount is zero, enter "0". If required, round your answers to nearest dollar. a. What amount is subject to employee...

Using a labor/leisure model to show and discuss the income and substitution effects of a rise...

Using a labor/leisure model to show and discuss the income and substitution effects of a rise in wage rate when substitution effect is greater than the income effect. Using this model to analyze implications of employee disability programs How would you address its work disincentive effect?

IKEA's Global Sourcing Challenge: Indian Rugs and Child Labor

Consider the a model of the U.S. labor market where the demand for labor depends on...

Consider the a model of the U.S. labor market where the demand for labor depends on the real wage, while the supply of labor is vertical and does not depend on the real wage. You could argue that the supply of labor by households (think of hours supplied by two adults and two children) has not changed much over the last 60 years or so in the U.S. while real wages more than doubled over the same time span. At...

Discuss the two most common credits associated with children, the Child Tax Credit, and the Child...

Discuss the two most common credits associated with children, the Child Tax Credit, and the Child Care Tax Credit. What are the eligibility requirements to take the credit? How is the credit calculated? Does the taxpayer’s income affect the credit? Are any parts of the credits refundable?

consider Domar’s model of labor coercion. He considers the labor markets in the USA and the...

consider Domar’s model of labor coercion. He considers the labor markets in the USA and the degree of labor coercion for free white labor and enslaved black labor. Which group(s)’s labor market institutions would he see as puzzling or not? Why?

4) Describe the motivation for the migration of labor. In the simple model labor migrates between...

4) Describe the motivation for the migration of labor. In the simple model labor migrates between what two sets of countries? 5) Identify the winners and losers that result from labor migration. How does this relate to the Factor Endowment Trade Model?

discuss 5 objective of studying child physcology

"The Bindler-Ball Healthcare Model: A New Paradigm for Health Promotion" discusses a new model for child...

"The Bindler-Ball Healthcare Model: A New Paradigm for Health Promotion" discusses a new model for child health nursing. Provide a brief summary of the article and evaluate the merits of the model. If a health care organization decided to implement this model, what types of communication would need to happen to make the implementation a success?

Question