Environment, political economies and livelihood change

Between the national and household factors, community or “meso-level” changes in political economy and livelihoods in southwestern Bangladesh illustrate that in order to understand the impacts on people and nations of climate change-related environmental changes – changes that are expected to include rising sea level, saline inundation, and increased likelihood and intensity of cyclones in Bangladesh – we need to understand the dynamics of the built and natural environment and the political economies these sustain. Meso-level political economies affect the sources of income and livelihood available in distressed environmental conditions, and therefore influence how well the people in them can adapt to changing environmental conditions. In this study we have seen the underlying political economies whose dynamics, and not slow onset environmental changes or disastrous environmental events, are pushing Bangladeshis to incorporate migration strategies into their livelihood strategies.

Why does child labor persist with declining poverty?

We develop a dynamic overlapping generations model to highlight the role of income inequality in explaining the persistence of child labor under declining poverty. Differential investment in two forms of human capital—schooling and health—in the presence of inequality gives rise to a nonconvergent income distribution in the steady state characterized by multiple steady states of relative income with varying levels of education, health, and child labor. The child labor trap thus generated is shown to preserve itself despite rising per capita income. Policy recommendations include public provision of education targeted toward reducing schooling costs for the poor or raising the efficacy of public health infrastructure.