International Law Book Facility Officially Launched

There has been growing international consensus on issues related to child labour – evident in various declarations, platforms, conventions, programmes of action etc. Child labour is the economic exploitation of children, or performance of any work that is likely to be hazardous or to interfere with the child’s health or physical, mental, spiritual, moral or social development. Poverty is the principal cause of child labour. Mostly the children work to support their families and also for their own survival. Paradoxically, however, child labour further aggravates the poverty syndrome as it usually deprives the children of education and opportunity to acquire skills for developing earning potentials. Other causes of child labour include family indebtedness, the lack or poor quality of schooling or non‐formal education, breakdown of extended family, uneducated parents, local cultural setting, and consumerism. It goes beyond economic exploitation or hazardous employment to include forced labour, trafficking, sexual exploitation and the use of children for the production and trafficking of illegal drugs. This article will ponder the socio‐legal situation of child labour and the large number of legislative enactments regarding labour in India, as well as their realities on the ground.     

Soft budgets and hard rents: a note on Kornai and Gomulka

This note shows how Kornai's concept of the soft budget constraint can be decomposed into separate elements of technical inefficiency and relative price distortion. The distinction between r-budget softness and m-budget softness introduced by Gomulka is shown to correspond to the equivalent and compensating variation measures of efficiency loss. It is also argued that budget softness should be viewed as the outcome of a rent-seeking process in which a firm's action in the control sphere incurs an opportunity cost in the real sphere. Adopting such a perspective leads to a re-definition of the resource loss associated with budget softness and results in much higher estimates of the social costs of soft budgets than those proposed in the existing literature.