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Macroeconomic Effects of Reducing Gender Wage Inequality in an Export‐Oriented, Semi‐Industrialized Economy

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  • Robert A. Blecker
  • Stephanie Seguino

Abstract

The paper presents two short‐run, structuralist models of an export‐oriented, two‐sector, semi‐industrialized economy in which women workers are concentrated in export production. The first model analyzes the comparative static effects of an exogenous increase in female wages holding male wages and the exchange rate constant. The second model endogenizes the female–male wage ratio and the real exchange rate, assuming flexible nominal wages and a crawling‐peg exchange rate. Either stable or unstable dynamics are possible. In the stable cases, a depreciation policy can either close or widen the gender wage gap.

Suggested Citation

  • Robert A. Blecker & Stephanie Seguino, 2002. "Macroeconomic Effects of Reducing Gender Wage Inequality in an Export‐Oriented, Semi‐Industrialized Economy," Review of Development Economics, Wiley Blackwell, vol. 6(1), pages 103-119, February.
    • Handle: RePEc:bla:rdevec:v:6:y:2002:i:1:p:103-119
    DOI: 10.1111/1467-9361.00144
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    Cited by:

    1. Manuel Santos Silva & Stephan Klasen, 2021. "Gender inequality as a barrier to economic growth: a review of the theoretical literature," Review of Economics of the Household, Springer, vol. 19(3), pages 581-614, September.
    2. Khorana, Sangeeta & Webster, Allan, 2023. "Too few women at the top of firms: Foreign ownership, gender segregation and cultural causes," GLO Discussion Paper Series 1276, Global Labor Organization (GLO).
    3. Taniya Ghosh & Sanika S. Ramanayake, 2021. "The macroeconomics of gender equality," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 26(2), pages 1955-1977, April.
    4. Aashima Sinha, 2023. "The Road to Gender-Equitable Growth: A State-level Analysis of Social Reproduction in the U.S," Working Paper Series, Department of Economics, University of Utah 2023_03, University of Utah, Department of Economics.
    5. Ranjula Bali Swain & Supriya Garikipati & Fan Yang Wallentin, 2020. "Does Foreign Aid Improve Gender Performance in Recipient Countries?," Journal of International Development, John Wiley & Sons, Ltd., vol. 32(7), pages 1171-1193, October.
    6. de Souza, Kênia Barreiro & Domingues, Edson Paulo, 2015. "Economic Impact of Womens Participation in the Labor Market: A General Equilibrium Approach," Conference papers 332595, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Stephanie Seguino, 2013. "From micro-level gender relations to the macro economy and back again," Chapters, in: Deborah M. Figart & Tonia L. Warnecke (ed.), Handbook of Research on Gender and Economic Life, chapter 20, pages 325-344, Edward Elgar Publishing.
    8. Nguyen, Canh Phuc, 2021. "Gender equality and economic complexity," Economic Systems, Elsevier, vol. 45(4).
    9. Ben Yahmed, Sarra, 2023. "Gender wage discrimination with employer prejudice and trade openness," World Development, Elsevier, vol. 170(C).
    10. Ram, Harchand & Chakravorty, Swastika & Goli, Srinivas, 2022. "Does gender inequality affect economic development? An evidence based on analysis of cross-national panel data of 158 countries," SocArXiv 7svz4, Center for Open Science.
    11. Enyang Besong Susan & Manases Mbengwor Natu, 2023. "Re-imagining the Gender Gap in Economic Participation and Opportunities: Assessing the Link Between Sustainable Development and Gender Equality in Some African Countries," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 169(3), pages 817-845, October.

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