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Female labor force participation and total fertility rates in the OECD: New evidence from panel cointegration and Granger causality testing


  • Mishra, Vinod
  • Smyth, Russell


This article examines the relationship between the female labor force participation rate and the total fertility rate for 28 OECD countries using panel unit root, panel cointegration, Granger causality and long-run structural estimation. The article finds that there is either unidirectional long-run Granger causality running from female labor force participation to the total fertility rate or bi-directional Granger causality between the two variables depending on how the female labor force participation rate is measured and the time period. In each case it is found that there is an inverse relationship between the female labor force participation rate and total fertility rate. This result supports the role incompatibility hypothesis that states there is a negative relationship between these variables because of the strain of performing the roles of both employee and mother.

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  • Mishra, Vinod & Smyth, Russell, 2010. "Female labor force participation and total fertility rates in the OECD: New evidence from panel cointegration and Granger causality testing," Journal of Economics and Business, Elsevier, vol. 62(1), pages 48-64, January.
  • Handle: RePEc:eee:jebusi:v:62:y:2010:i:1:p:48-64

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    References listed on IDEAS

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    Cited by:

    1. Hafner, Kurt A. & Mayer-Foulkes, David, 2013. "Fertility, economic growth, and human development causal determinants of the developed lifestyle," Journal of Macroeconomics, Elsevier, vol. 38(PA), pages 107-120.
    2. Florian Noseleit, 2014. "The impact of childcare enrollment on women’s selection into self-employment," Working Papers 2014/15, Maastricht School of Management.
    3. Xiaobo He & Rong Zhu, 2016. "Fertility and Female Labour Force Participation: Causal Evidence from Urban China," Manchester School, University of Manchester, vol. 84(5), pages 664-674, September.
    4. Bellido, Héctor & Marcén, Miriam, 2014. "Divorce laws and fertility," Labour Economics, Elsevier, vol. 27(C), pages 56-70.
    5. Lee, Grace H.Y. & Lee, Sing Ping, 2014. "Childcare availability, fertility and female labor force participation in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 32(C), pages 71-85.
    6. Yuko Kinoshita & Fang Guo, 2015. "What Can Boost Female Labor Force Participation in Asia?," IMF Working Papers 15/56, International Monetary Fund.
    7. Janneke Plantenga, 2015. "The economics of gender equality; a review of the literature in three propositions and two questions," WWWforEurope Working Papers series 104, WWWforEurope.
    8. Ewa Lechman, 2014. "Female labor force participation and economic growth– re-examination of U-shaped curve," GUT FME Working Paper Series A 21, Faculty of Management and Economics, Gdansk University of Technology.
    9. Thomas Gries & Rainer Grundmann, 2014. "Trade and fertility in the developing world: the impact of trade and trade structure," Journal of Population Economics, Springer;European Society for Population Economics, vol. 27(4), pages 1165-1186, October.
    10. Asongu, Simplice & Efobi, Uchenna & Tanankem, Belmondo, 2017. "On the Relationship between Globalisation and the Economic Participation of Women in Sub-Saharan Africa," MPRA Paper 78860, University Library of Munich, Germany.
    11. KINOSHITA Yuko & GUO Fang, 2015. "Female Labor Force Participation in Asia: Lessons from the Nordics," Discussion papers 15102, Research Institute of Economy, Trade and Industry (RIETI).
    12. Tsani, Stella & Paroussos, Leonidas & Fragiadakis, Costas & Charalambidis, Ioannis & Capros, Pantelis, 2013. "Female labour force participation and economic growth in the South Mediterranean countries," Economics Letters, Elsevier, vol. 120(2), pages 323-328.
    13. repec:pal:eurjdr:v:29:y:2017:i:4:d:10.1057_s41287-016-0013-z is not listed on IDEAS
    14. Paraskevi Salamaliki & Ioannis Venetis & Nicholas Giannakopoulos, 2013. "The causal relationship between female labor supply and fertility in the USA: updated evidence via a time series multi-horizon approach," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(1), pages 109-145, January.
    15. Verena Tobsch, 2013. "Betreuung von Schulkindern: ein weiterer Schlüssel zur Aktivierung ungenutzter Arbeitskräftepotenziale?," SOEPpapers on Multidisciplinary Panel Data Research 573, DIW Berlin, The German Socio-Economic Panel (SOEP).
    16. Bellido, Héctor & Marcén, Miriam, 2011. "Divorce laws and fertility decisions," MPRA Paper 30243, University Library of Munich, Germany.


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