Child Labor & Liberia's Rubber Industry
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Transcript of Child Labor & Liberia's Rubber Industry
David Koffa Jr. 3.01.2015
Topics in Development Economics Dartmouth College
1
Child Labor & Liberia’s Rubber Industry: An Empirical Study of the Effects of Liberia’s Rubber Commodity Exports on
Child Labor & Education Attainment
Written by: David Koffa Jr.
Abstract
In this paper I analyzed the effects of the rubber industry in Liberia on child labor
and education. I tried to answer the important question of how does a production “boom”
in the rubber industry affect child labor and education in Liberia? I conducted empirical
research on whether rubber exports are related to low levels of schooling and high-levels
of child labor in Liberia using economic theory and econometric methodologies.
I did this by doing a comparative cohort study that analyzed whether children that
live within rubber producing districts attain low levels of education compared to areas
and districts that don’t have it. Using a difference-in-difference model to test the effects
of the rubber industry on children education in Liberia I found that children that lived in
rubber producing districts during periods of high rubber production output had a
significant decline in education attainment compared to their other cohorts that lived in
non-rubber producing regions.
Section 1 of this paper introduces Liberia’s rubber industry and its relation to
children education. Section 2 explores the data in the study and discusses the study
methodology. Section 3 discusses the study’s identification strategy and empirical
implementation. Section 4 analyzes the results of the study and explores robustness
checks and ancillary findings. Finally, section 5 discusses policy implications for the
study and concludes.
David Koffa Jr. 3.01.2015
Topics in Development Economics Dartmouth College
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I. Liberia’s Rubber Industry and Education System
Liberia, like most countries in Africa, is a land rich in natural resources, and one
of the resources that Liberia has that is highly coveted by the world are it’s rubber trees
and production. Since the building of it’s first major rubber plantation for the planting,
processing, and production of rubber in 1926 by the Firestone Plantation Company,
which owns the world’s largest industrial rubber plantation located in Harbel, Liberia
(UN 2006), rubber exports have played an integral role in the Liberian economy (Verite
2012). The rubber produced in Liberia plays a vital role in creating rubber products such
as latex gloves and, most importantly, tires for automobiles (Verite 2012). Since the
1920s, the rubber produced at the Firestone Rubber Plantation in Liberia was a major
supplier of car tires for the Ford Motor Company and many other automobile makers
(Greg & Paul 2010).
In 2010, rubber accounted for 61% of Liberia’s total exports, and plantation
companies are a major source of tax revenue for the country. Commercial rubber farms
employ an estimate of more than 20,000 people and up to 60,000 small holder households
are involved in planting rubber trees (Verite 2012). Rubber also serves as a major source
of formal, salaried employment in a country that has a largely subsistence-level
agricultural economy and country that has an unemployment rate of 85% (CIA: 2003).
In essence, rubber is the country’s most important cash crop and an important part of the
Liberian economy.
Although the rubber industry plays a vital role to the Liberian economy, it has
also been a source of high exploitation and blatant human rights violations through the
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prevalent use of child labor practices on all of Liberia’s seven major rubber plantations
(U.N. 2006).
The U.N. states that on the rubber plantations “child labor is indirectly
encouraged by work practices and lack of access to education” (U.N. 2006). This is due
primarily to the fact that rubber production is a highly labor intensive process that
requires workers to “tap” hundreds of rubber trees that create the sap that produces the
rubber. Due to the fact that workers are given excessive and unreasonable quotas to reach
a day, they often have to use their children to help them work (IRIN 2006). Due to the
high demand and deplorable conditions of the rubber plantations, child labor is frequently
used on the plantations. Many times children cannot benefit from free education and
health care that the major rubber plantations claim to provide because the children on the
plantations often are not registered at birth by plantation health facilities (UN 2006).
The educational facilities provided by the rubber corporations are inaccessible to
many children due to the excessive distance of the facilities from their settlements, and
many families cannot afford to send their children to private schools. Thus, the parents of
the children on rubber plantations often have no choice but to have their child work with
them on the plantations. The 2006 United Nations report states that the “lack of available
or accessible public schools or schools provided in concession areas, lead children to
assist parents in the plantation to increase the family income” (UN 2006: 43). This
reports supports known economic literature on the effects of school proximity on child
labor, the further the school is away from a child in a developing country, the higher the
prevalence of child labor (Florence & Manacorda 2012). The use of child labor to help
increase the family income of workers on the rubber plantations who are often paid less
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than 2 USD a day (UN 2006) also confirms known studies on how child labor is used by
impoverished families to help reduce the effects of poverty and smooth consumption
(Udry 2006) (Edmonds 2009).
A. Analysis of Liberia’s Rubber Production
Figure 1. Liberia’s rubbery production trends from 1972-2013 (Source FAOSTAT)
Figure 2. Liberia’s rubber yield from 1972 to 2013(Source: FAOSTAT)
Figures 1 and 2 show Liberia’s rubber production and rubber yield respectively
from 1972 to 2013. The figures show that Liberia averages around 80,000 tons of rubber
and a yield averaging about 7,000 kilograms per hectare between 1972 and 2013. The
data also depicts rubber boom years when there is both high production and yield in
rubber. During boom years Liberia averages around 100,000 tons of rubber production
0
50000
100000
150000
1972
1974
1976
1978
1980
1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
2012
Tons of Rubber Produced
Year
Liberia's Rubber Production
Liberia
0 5000 10000 15000
1972
1974
1976
1978
1980
1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
2012
Kilogram
s per Hectare
Year
Liberia Rubber Production Yield
Liberia
David Koffa Jr. 3.01.2015
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and more than 10,000 kilograms per hectare. Figure 1 also shows that between the years
1990 to about 2000 there was a dramatic drop in rubber production in Liberia. This
decline is primarily due to the first Liberian Civil War, which raged on from 1989 to
1997. This is evident between the years 1990 and 1996, which has the lowest production
numbers, with the lowest being in 1994 where the total rubber production was about
10,000 tons (FAOSTAT). These low numbers most likely indicates the years of the
highest and most disruptive fighting among rebels. The data also shows that during the
2000s the number of rubber production increased due to the fact that the war came to an
end around that time and a new and more peaceful governance came into to power. The
data also shows that after 2007 there was a decline in rubber production; however, this
decline may be due to government policy changes and less on the effects of war as during
this time period the President of Liberia, President Ellen Johnson-Sirleaf, tried to make
rubber companies process rubber within the country instead of simply export the raw and
unprocessed rubber (Reuters 2013).
Figure 3. Comparison of rubber production of the top three rubber producers in Africa (Source: FAOSTAT)
0 50000 100000 150000 200000 250000 300000 350000
1960 1970 1980 1990 2000 2010 2020
Tons of Rubber Produced
Years
Rubber Production
Liberia
Cote d'Ivoire
Nigeria
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Figure 3 shows Liberia’s rubber production compared to the other two top rubber
producers in Africa, Cote d’Ivoire and Nigeria. Looking at the time trends over the years,
it is evident that Liberia was the leading rubber producer in Africa from 1972 to 1989,
during the time period of interest for my research and before the civil war, but after 1989
Nigeria became the leading rubber producer from 1990 to 1998 and they were ultimately
surpassed by Cote d’Ivoire from the year 2000 and onwards where Cote d’Ivoire
produced more than 200,000 tons of rubber increasingly every year, far more than Liberia
even during it’s rubber boom years (FAOSTAT 2013). This exponential rise in rubber
production and yield from Cote d’Ivoire over the years, as seen in Figures 3 and Figure 4,
may be due mostly to the fact that Cote d’Ivoire is a highly developed country and
agriculture exports oriented country due to the massive success and prevalence of it’s
cocoa producing industry.
It is very plausible that the methodology used to get high production and yields
from cocoa trees may be the same ones used in Cote d’Ivoire’s rubber industry. The
indication of Nigeria’s apparent decline and plateau of rubber production may be due to
the fact that Nigeria has switched to be more of an industry and oil exports based
economy than an agricultural one. Figure 4 shows the trends in rubber yield in each of the
three African countries. Although they are all quite different, with Cote d’Ivoire being the
only country showing a trend with an incline yield after the 2000s, the yield curves all
tend to have sharp dips at the same time in all three countries, with the sharpest decline
being in 1995. These similar declines in yield may be due to the fact all three countries
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share similar regions and climates and any change in climate, rainfall, plant disease, or
decrease in productivity of rubber trees will effect all of the countries.
Figure 4. Yield in rubber production between the top three rubber producers in Africa (Source: FAOSTAT) II. Empirical Implementation A. Data
For my research, I obtained survey census data for Liberia from the IPUMS-
International database. The data that I used was primarily taken from the year 2008 to
perform my analysis; however, I used the IPUMS-I 1974 data to locate specific districts
in Liberia that produces rubber. I then classified a district as a rubber-producing district if
thirty or more individuals within that district farmed rubber. I chose thirty or more
individuals farming rubber as my indicator of a rubber producing district as due to the
prevalence of small rubber farms, using lower number of individuals would have made
almost half of all districts in Liberia be classified as a rubber producing district compared
to about 38% of districts being classified as a rubber producing district when I used thirty
individuals. Although the estimated percentage of rubber producing districts is still
0 5000 10000 15000 20000 25000
1960 1970 1980 1990 2000 2010 2020
Kilogram
s per Hectare
Year
Top African Rubber Production Yield
Liberia
Cote d'Ivoire
Nigeria
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relatively high as there exists only seven major rubber plantations in the country, but due
to the lack of data on the percentage of rubber exports these individual plantations
produce I cannot limit the classification of rubber-producing district to only the districts
these plantations are located in as this may not be representative of the full effects of the
rubber industry on children in the country.
To classify a district as “rubber-producing”, I merged the 1974 data of districts
where rubber is produced and farmed with the 2008 IPUMS-I data. Both the households
and rubber districts where merged and matched with the data of the households that took
the IPUMS-I survey both in 1974 and 2008. By doing this I was able to evaluate the
effects of rubber booms on children education by combining the differences across
regions and districts with rubber factories with difference in education across cohorts not
within rubber producing regions during this time.
B. Methodologies:
To test my research question of analyzing how a production “boom” in the rubber
industry affect child labor and education in Liberia, I tested a null hypothesis H0 stating
that there is no difference and effect on educational attainment between school decision-
making aged children living in rubber producing districts in Liberia and children that do
not live in rubber producing districts during rubber “boom” years.
To test this null hypothesis, I created multiple classifications and established
multiple parameters. First, I classified a school decision making aged child as children
between the ages of 10 and 16. This is due to fact that children finish primary school in
Liberia around these ages and make the decision to continue their education in Junior
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High school as in Liberia it is mandatory for every child to complete primary school. I
also chose these age ranges because they are major age ranges where child labor is
prevalently used. I then classified educational attainment, my dependent variable, as
individuals completing primary education, grades 1-6, or higher.
Second, I classified “boom” years as years where there is very high rubber
production compared to other years. For my analysis, the “boom” years that I analyzed
were from 1984-1988 as shown in Figure 5. Children that were of school decision-
making age (ages 10-16) during these “boom” years were designated my treatment
cohort. My control cohorts and comparison group (ages 18-24) were people who were not
really impacted by child labor in the rubber industry. I created a treatment cohort and
comparison cohort to fully test impact of the rubber-industry on children by testing the
difference-in-difference in education attainment between the two groups
III. Identification strategy
My identification strategy uses the fact that the influence of the rubber industry on
children varies by region of birth (districts where rubber plantation exists) and date of
birth (children who were of school age during the years rubber production was very
high). I used a difference-in-difference analysis that controls for variation on education
across regions and across cohorts.
The cohort group that I used were individuals born between the years of 1968-
1974 in the 2008 IPUMS data as they were of school decision making age, 10-16
(UNICEF 2011), during what I identified as boom years in rubber production in Liberia
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Topics in Development Economics Dartmouth College
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from the data on the FAOSTAT data base, which was between 1984-1988, the years
before the Liberian civil war.
A. Empirical Specification To analyze the effects that living within a rubber-producing district has on children
educational attainment I used the following basic difference-in-difference regression
model to test my null hypothesis.
My regression model is: Schooljt = B0 + B1(treatment)jt + B2(rubber_district) + B3(treatment*rubber_district) + δ1dage + λj + e Equation 1.
Where school is a dummy variable for each individual’s education attainment, j is
each individual, t is the time, B0 a constant, treatment is the treatment cohort age 10-16
during “boom” years (1984-1988), rubber_district is a dummy variable that indicates if a
district produces rubber or not, treatment*rubber_district is an interaction variable
between the treatment cohort variable and rubber producing district variable, δ1dage is a
fixed effect for age, λj is a district of birth fixed effect, and e are potential error terms.
As shown in Figure 5, the difference-in-difference I calculated is:
[(Ed11-Ed01) - (Ed10-Ed00)] Equation 2. Where Ed# is the output of a control or treatment variable on a rubber producing district
or non-rubber producing district.
David Koffa Jr. 3.01.2015
Topics in Development Economics Dartmouth College
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Rubber Producing District Non-Rubber Producing District
Control Cohort (Ages 18-24) Ed01 Ed00
Treatment Cohort (Ages 10-16) Ed11 Ed10
Figure 5: Difference-in-difference model matrix for study
From my regression model, I can expand upon the difference-in-difference model
from Figure 5 and include actual coefficients I will be solving for within my regression as
shown in Figure 6. Using the same difference-in-difference calculation of Equation 1, I
can apply it to using coefficients from Equation 2 and Figure 6 to solve:
[((B0+B1+ B2+B3) – (B0+B1)) – ((B0+B2) – (B0))]= B2+B3 – B2 = B3 Equation 3. Equation 3 states that the coefficient that will give me the difference-in-difference result
within my main regression analysis is the coefficient of the treatment and rubber
producing interaction variable or B3.
Rubber Producing District Non-Rubber Producing District
Control Cohort (1976-1980) B0+B2 B0
Treatment Cohort (1984-1988)
B0+B1+ B2+B3 B0+B1
Figure 6: Regression model applied to difference-in-difference model matrix B. Data Summary Statistics
Based off Figure 7 and appendix A, in the data I used from IPUMS there was a
total of 46,982 observations or individuals surveyed. Male individuals were composed of
about 50.08% of those surveyed and there were a total of 49.92% females within the data.
David Koffa Jr. 3.01.2015
Topics in Development Economics Dartmouth College
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Based off my parameter and definition of what is considered a rubber-producing
district, where 30 or more individuals farm rubber, about 39% of districts within my data
are labeled a rubber-producing district. There were a total of 46,982 observations of
individual’s education attainment, the dependent variable, within my data.
[1] [2] [3]
Variable Non-Rubber District
Rubber District Total
Rubber "Boom" Years Cohort
Number of Individuals 8299 5542 13841 Average Years of Schooling 5.2 2.9 Percent Male 49% 48% Percent Female 51% 52% Completed Primary School or Higher 34% 43%
Control Cohort
Number of Individuals 4812 2731 7543 Average Years of Schooling 5.9 3.7 Percent Male 54% 56% Percent Female 46% 44% Completed Primary School or Higher 34% 43%
Figure 7. Means and statistics of cohorts(Source: STATA)
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Appendix A: Data Summary Statistics of Variables of Interest (Source: STATA)
Variables Observations Mean Std. Dev. Individuals Per Household 46982 2.059086 2.131418 Age 46982 40.01592 4.22508 Sex 46982 1.490848 0.4999215
Education Attainment 46982 1.640628 0.8685118 Literate 46982 1.483483 0.4997324 Years of School 46294 4.495334 5.420105
District 46982 2470.099 1096.652 Rubber Producing District 46982 0.3901707 0.4877936
Birthplace 46693 24.30274 17.57332
Male 46982 0.5091524 0.4999215 Individual Farms Rubber 46982 0.0916096 0.2884771 Complete Primary or Higher 46982 0.406262 0.4911398
Rural District 46982 0.7138053 0.4519863 Treatment Cohort 46982 0.6278575 0.4833813 Control Cohort 46982 0.3721425 0.4833813 Rubbery District*Treatment Cohort 46982 0.2467541 0.431127 Rubber District*Cohort 46982 0.1434166 0.3505009
IV. Results
From Figure 8, it is evident that there is an effect on the educational attainment of
children that live within rubber-producing districts, proving my null hypothesis H0
wrong. Figure 8 is a regression analysis and result of Equation 1, where Rubber
District*Cohort is the B3 coefficient of interest and value that shows the effect of living
in a rubber-producing district compared to a non-rubber producing district. The value of
the Rubber District*Cohort coefficient is -0.0254 or -2.54% with a t-value of -3.43 and a
p-value of 0.01 indicating the coefficient is statistically significant at the 1% level. The
David Koffa Jr. 3.01.2015
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results from the regression model shows that children of school decision-making age who
lived in rubber-producing districts have a 2.54% decline in education attainment
compared to children who lived in a non-rubber producing district. This result shows that
children who live in rubber-producing districts have a significantly less attainment in
education compared to those do not live in a rubber-producing region.
(1) (2)
Explanatory Variable Education Attainment Education Attainment Rubbery District*Cohort -0.170*** -0.0254*** (0.00493) (0.00741) Constant 0.448*** 0.286*** (0.00264) (0.0163)
Controls No Yes Fixed Effects No Yes Observations 46,982 46,693 R-squared 0.022 0.223 Robust standard errors in parentheses *** p<0.01, ** p<0.05, * p<0.1
Figure 8. Effects of Education Attainment on treatment cohort living in rubber producing districts compared to control cohorts and those living in non-rubber producing districts (Source: STATA) A. Robustness Checks and Ancillary Findings
I tried multiple robustness checks to ensure the validity of my findings and test
against any potential factors that might cause bias in my results. Figure 9 shows a similar
regression analysis as in Figure 8 except that it analyzes every individual that was of
school eligible-age (ages 14-16) during the rubber “boom” years; however, the
comparison group that the regression is being tested against is all of the 346,179
individuals participating in the data. I performed this analysis to have more variations to
test against in the data. Figure 9 shows that there was a statistically significant decline of
David Koffa Jr. 3.01.2015
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about 12.5% in education attainment of children of school decision-making age who
lived in rubber-producing districts compared to those who lived in a non-rubber
producing district. The decline in education attainment among every school eligible child
is higher than that of those who are only of school decision-making age. This is also
evident when a similar regression is computed for children below the school-decision
making age (6-13) as shown in Figure 10 as they had a 14.5% decline in education
compared to those who lived in non-rubber producing district.
I performed a test to ensure that urban factors in Liberia did not cause a bias of
the results I obtained. In Liberia the capital, Monrovia, have a disproportionate number of
the total schools in the country, accounting for almost 80% of all the academic
institutions in the entire country. Monrovia also tends to have the largest population
concentration in the country, due to this I tried to test to make sure that the capital was
not biasing my results. To test only the other regions without the potential bias of the
capital, I excluded Monrovia as a district in my test and ran the same regression as Figure
8 and with similar comparison groups. Figure 11 shows that with Monrovia excluded as a
district within the regression output there is a 0.9% decline in education attainment of
children within rubber-producing districts although this value is not statistically
significant. However, Figure 10 shows that when the treatment cohort is regressed
without Monrovia being included as a district and the comparison group is everyone that
participated the survey to increase variability within the regression, there is a statistically
significant decline in education attainment of 7.69%. Both result indicates that Liberia’s
capital plays a significant role on the education attainment of the country overall due to
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it’s high density of schools and also there is still an adverse affect of the educational
attainment of children living in rubber-producing districts.
Analyzing the data I also tried to analyze the differences in the education
attainment of male and female children living in rubber-producing regions. This research
question is very important as it analyzes the discrepancies between male and female
education and it may provide insight on which demographic is most affected by the
rubber-industry. Figure 10 shows that male children had a 2.73% decline in education
attainment compared the 2.69% decline of female children. Figure 13 shows a similar
regression but with greater observations within the dataset as the comparison group and
the results from Figure 13 shows that male children had a 14.2% decline in education
attainment compared to the 9.9% decline in education by female children. Both
regression output shows that male children are more affected by the rubber industry
within these districts than female districts. The potential cause of male children being
more effected is because harvesting rubber sap from rubber trees is a heavy labor task
that requires a lot of strength and young boys will most likely be used more by their
parents than young girls although the young girls will most likely be taken out of school
to perform household chores while their parents are working on the plantations.
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[1] [2] [3] [4]
Explanatory Variables
Education Attainment - 1976-1980
Education Attainment
Education Attainment-1984-1988 Difference
Rubber District*Cohort -0.0965*** -0.116*** -0.125*** -0.0285 (0.0221) (0.00831) (0.0317) Cohort 0.107*** 0.0496*** 0.0625* 0.0445 (0.0290) (0.00559) (0.0348) Rubber District -0.0818*** -0.0857*** -0.0792*** 0.0026 (0.0224) (0.00171) (0.0218)
Controls Yes No Yes Yes
Constant 0.457*** 0.427*** 0.458*** 0.001 (0.0418) (0.00109) (0.0415)
Observations 346,179 348,057 346,179 346,179 R-squared 0.023 0.009 0.023 0.023 Robust standard errors in parentheses
*** p<0.01, ** p<0.05, * p<0.1 Figure 9: Effects of Education Attainment on treatment cohort living in rubber producing districts compared to control cohorts and those living in non-rubber producing districts except that the comparison group is expanded to every observable individual in the data to see the effects with a larger sample size.
David Koffa Jr. 3.01.2015
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(1) (2) (3)
Explanatory Variables
Education Attainment - Ages
6-18
Education Attainment - Ages
6-12
Education Attainment-
Rural
Rubber Distritct*Cohort -0.145*** -0.140*** -0.0769*** (0.0334) (0.0312) (0.0159) Cohort 0.0852* 0.0796* 0.00811 (0.0431) (0.0421) (0.00999) Rubber District -0.0597*** -0.0692*** -0.0218 (0.0171) (0.0194) (0.0142)
Controls Yes Yes Yes
Constant 0.444*** 0.451*** 0.378*** (0.0353) (0.0381) (0.0190)
Observations 346,179 346,179 249,886 R-squared 0.025 0.024 0.006 Robust standard errors in parentheses
*** p<0.01, ** p<0.05, * p<0.1 Figure 10: Effects of Education Attainment on treatment cohort living in rubber
producing districts compared to control cohorts and those living in non-rubber producing districts. The comparison group is expanded to every observable individual in the data to see the effects with a larger sample size and two different treatment cohorts are used to test for possible change in results. Rural districts are also tested where Monrovia is excluded from the data analysis.
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(1) (2)
Explanatory Variable Education
Attainment- Rurual Education
Attainment- Ages 6-9 Rubber District*Cohort -0.00990 -0.0212** (0.00931) (0.00866) Constant 0.330*** 0.276*** (0.0222) (0.0176)
Observations 33,377 35,822 R-squared 0.056 0.211 Standard errors in parentheses *** p<0.01, ** p<0.05, * p<0.1
Figure 11: Effects of education attainment on treatment cohort living in rubber producing districts compared to control cohorts and those living in non-rubber producing districts except the data analyzes only rural regions (excludes Monrovia from data being tested) Also analyzes the effects of education attainment on a new treatment cohort between the ages of 6-9. (Source: STATA) (1) (2)
Explanatory Variable
Education Attainment -
Male
Education Attainment -
Female Difference Rubber District*Cohort -0.0273** -0.0269*** -0.0004 (0.0111) (0.00972) Constant 0.566*** 0.325*** (0.0237) (0.0219)
Observations 23,730 22,963 R-squared 0.132 0.150 Standard errors in parentheses
*** p<0.01, ** p<0.05, * p<0.1 Figure 12. Ancillary Findings: Analyzes the Effects of education attainment between male and female children living in rubber producing districts compared to control cohorts and those living in non-rubber producing districts (Source: STATA)
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[1] [2] [3]
Explanatory Variables
Education Attainment -
Males
Education Attainment -
Females Difference Rubber District*Cohort -0.142*** -0.0992*** -0.0428 (0.0123) (0.00979) Cohort 0.169*** -0.0403*** 0.2093 (0.00755) (0.00719) Rubber District -0.0988*** -0.0587*** -0.0401 (0.00314) (0.00299) Constant 0.545*** 0.370*** (0.00731) (0.00691)
Controls Yes Yes
Observations 173,271 172,908 R-squared 0.022 0.030 Robust standard errors in parentheses
*** p<0.01, ** p<0.05, * p<0.1 Figure 13: Effects of Education Attainment on male and female treatment cohorts living in rubber producing districts compared to control cohorts and those living in non-rubber producing districts. The comparison group is expanded to every observable individual in the data to see the effects with a larger sample size.
V. Conclusion
In my research I analyzed the effects of the rubber industry in Liberia on child
labor and education. I empirically tested and tried to answer the important research
question of how does a production “boom” in the rubber industry affect child labor and
education in Liberia? My research found that children that lived in rubber producing
districts during periods of high rubber production output had a significant decline of
2.54% in education attainment compared to their other cohorts that lived in non-rubber
producing regions. My ancillary finding showed that male children are more affected in
rubber-producing districts than female children.
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These results show that children that live within rubber-producing regions are
negatively affected in education attainment compared to their peers in non-rubber
producing districts. Based on the robustness checks performed and literature concerning
these districts, the most likely reason for the decline in education for these children is
attributed to the rubber industry in these districts that play a major role in these children’s
family decisions to utilize child labor to increase their productivity and remain employed.
This research provides empirical evidence that there is a statistically significant
negative effect of the rubber industry in Liberia on children education and adds value to
the little empirical evidence of the impact of the rubber industry on the children in
Liberia. These results can help policies to be implemented that target specific rubber
producing districts to help promote education efforts to make schooling readily available
and also to put pressure on rubber industries to discourage their workers from using their
children. Policies can be enacted that requires rubber companies to have better and more
practical quotas per employee that will make them not forced to utilize their children to
help them fulfill these quotas. It is my hope that this research can help provide more
evidence to help create policies that reduces the prevalent use of child labor in Liberia
and other countries around the world.
David Koffa Jr. 3.01.2015
Topics in Development Economics Dartmouth College
22
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23
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