Abstract
The current study has explored the impact of shocks, poverty and dynamics of poverty on child labour and schooling in Pakistan. Three rounds of Pakistan Panel Household Survey (PPHS) are used and analysis is carried out on sampled children of age 5-14 years. The findings reveal that shocks have a positive impact on child labour. The dynamics of poverty shows that households who succeeded to move out of poverty or remained non-poor, are more likely to send their children in educational institutes. Policy focus is required to mitigate the adverse impacts of shocks and poverty.