In this study we investigate the relationship between trade sanctions and child labor based on a theoretical model created by Jafarey and Lahiri (2002). In their study, Jafarey and Lahiri (henceforth JL) created a two goods and two periods model in which they examined the relationship between trade sanctions and child labor in the context of three scenarios, namely whether parents had access to an international credit market, or to a domestic credit market, or have borrowing constraints. This study investigates the first two scenarios. Using panel data of 141 countries over a period of 40 years, my results seem to confirm results found in JL. Nevertheless, my data suffers of an endogeneity problem which I overcame by using the method of two stages least squares estimation. Moreover, the two stages least squares method of estimation enabled me to look at both the direct and indirect effects of the relationship between trade sanctions and child labor.