Notes on “Child Labour, Fertility, and Economic Growth”

We analyze Hazan and Berdugo (2002) to simplify it for future research, incorporating a theoretical examination of the relationship between child labor, human capital, and fertility. Depending on the initial human capital level, we can classify economies into four types, with the transition of generations over time. One of these explains the development trap, characterized by widespread child labor, low human capital, and high fertility. In contrast, another type arises: low child labor, high human capital, and low fertility. The results may help explain the widening wealth gap between rich and developing countries or households.