The Effect of Land Title on Child Labor Supply: Empirical Evidence from Brazil

This paper assesses the effect of property-titling on child labor. Our main contribution is to investigate the potential impact of property rights on child labor supply by analyzing household response regarding the child labor force to exogenous changes in property ownership status. The causal role of legal ownership is isolated by comparing the effect of land titling using data from a unique study in two geographically close and demographically similar communities in Osasco, a town of 654,000 people in the Sao Paulo metropolitan area. Survey data were collected from households in both communities before and after the granting of land titles, with neither type knowing ex-ante whether it would receive land titles. The econometric estimates, applying the Difference-in-Difference (DD) methodology and propensity score matching, suggest that land-titling decreases child labor.