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From Duty to Right: The Role of Public Education in the Transition to Aging Societies

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Author Info
Sugimoto, Yoshiaki
Nakagawa, Masao
Abstract

This paper argues that the introduction of compulsory schooling in early industrialization promoted the growth process that eventually led to a vicious cycle of population aging and negative pressure on education policy. In the early phases of industrialization, public education was undesirable for the young poor who relied on child labor. Compulsory schooling therefore discouraged childbirth, while the accompanying industrialization stimulated their demand for education. The subsequent rise in the share of the old population, however, limited government resources for education, placing heavier financial burdens on the young. This induced further fertility decline and population aging, and the resulting cycle may have delayed the growth of advanced economies in the last few decades.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 13835.

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Date of creation: 07 Mar 2009
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Handle: RePEc:pra:mprapa:13835

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Related research
Keywords: Compulsory Education; Fertility; Generational Conflict; Growth.;

Find related papers by JEL classification:
H50 - Public Economics - - National Government Expenditures and Related Policies - - - General
J10 - Labor and Demographic Economics - - Demographic Economics - - - General
C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
J20 - Labor and Demographic Economics - - Demand and Supply of Labor - - - General

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  2. Simon Kuznets & Richard E. Quandt & Milton Friedman, 1960. "Population Change and Aggregate Output," NBER Chapters, in: Demographic and Economic Change in Developed Countries, pages 340-367 National Bureau of Economic Research, Inc. [Downloadable!]
  3. Taira, Koji, 1971. "Education and literacy in Meiji Japan: An interpretation," Explorations in Economic History, Elsevier, vol. 8(4), pages 371-394. [Downloadable!] (restricted)
  4. Kemnitz, Alexander, 1999. " Demographic Structure and the Political Economy of Education Subsidies," Public Choice, Springer, vol. 101(3-4), pages 235-49, December. [Downloadable!] (restricted)
  5. Horrell Sara & Humphries Jane, 1995. "The Exploitation of Little Children: Child Labor and the Family Economy in the Industrial Revolution," Explorations in Economic History, Elsevier, vol. 32(4), pages 485-516, October. [Downloadable!] (restricted)
  6. Gradstein, Mark & Kaganovich, Michael, 2004. "Aging population and education finance," Journal of Public Economics, Elsevier, vol. 88(12), pages 2469-2485, December. [Downloadable!] (restricted)
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  7. Matthias Doepke & Fabrizio Zilibotti, 2005. "The Macroeconomics of Child Labor Regulation," American Economic Review, American Economic Association, vol. 95(5), pages 1492-1524, December. [Downloadable!]
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  8. Oded Galor & Omer Moav, 2006. "Das Human-Kapital: A Theory of the Demise of the Class Structure," Review of Economic Studies, Blackwell Publishing, vol. 73(1), pages 85-117, 01. [Downloadable!] (restricted)
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  9. Galor, Oded, 2005. "From Stagnation to Growth: Unified Growth Theory," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 4, pages 171-293 Elsevier. [Downloadable!] (restricted)
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  10. Dilip Mookherjee & Debraj Ray, 2003. "Persistent Inequality," Review of Economic Studies, Blackwell Publishing, vol. 70(2), pages 369-393, 04. [Downloadable!] (restricted)
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