This study investigates the key determinants of child labour hours and childschooling experience paying special attention to the interaction between thetwo. A significant methodogical feature that distinguishes the present studyfrom previous investigations is that this analysis recognises the jointendogeneity of child labour, child schooling and child poverty. The study isconducted on Nepalese and Pakistani data, and the results are compared. A keyempirical finding, with significant policy implications, is the sharp trade offbetween child labour and child schooling. Another common feature of bothcountries is the gender bias in favour of boys schooling, though the bias ismuch larger in case of Pakistan.