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Female labour market participation and economic growth

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  • Angela Luci

Abstract

This paper investigates the impact of economic growth on the dynamics of gender inequality in the labour market. Economic studies suggest a positive impact of female labour market participation on growth but the impact of growth on women's labour market participation is not as clear. Recent cross-country studies assume that economic growth first lowers female labour market participation and then increases it in the long-run ( the 'feminisation U') but do not give precise estimation results. This study tests the hypothesis of the 'feminisation U' based on a panel data set (combination of cross country and time series data) which allows to control for problems of endogeneity. The econometric analysis confirms the hypothesis of a 'feminisation U'. This indicates that it is not sufficient in the short-term to rely on the equalising effects of economic growth to increase the entry of women into the labour force. Active labour market policies are needed particularly in developing countries to promote women's labour market participation in the interest of overall economic growth.

Suggested Citation

  • Angela Luci, 2009. "Female labour market participation and economic growth," International Journal of Innovation and Sustainable Development, Inderscience Enterprises Ltd, vol. 4(2/3), pages 97-108.
    • Handle: RePEc:ids:ijisde:v:4:y:2009:i:2/3:p:97-108
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    Cited by:

    1. Moundir Lassassi & Aysit Tansel, 2022. "Female labor force participation in Egypt and Palestine: An age–period–cohort analysis," Review of Development Economics, Wiley Blackwell, vol. 26(4), pages 1997-2020, November.
    2. Pamela E. Ofori & Simplice A. Asongu & Vanessa S. Tchamyou & Raufhon Salahodjaev, 2023. "The Synergy between Governance and Trade Openness in Promoting Female Economic Inclusion in Sub-Saharan Africa," Working Papers 23/001, European Xtramile Centre of African Studies (EXCAS).
    3. BILAN Yuriy & OMRAN Emad Attia Mohamed & BILAN Yuriy & OMRAN Emad Attia Mohamed, 2012. "Female Labour Force Participation and the Economic Development in Egypt," European Journal of Interdisciplinary Studies, Bucharest Economic Academy, issue 01, March.
    4. Prathi Seneviratne, 2017. "Female Labour Force Participation and Economic Development in Labour Abundant Countries: Evidence from Sri Lanka," Working Papers 2017-02, Carleton College, Department of Economics.
    5. Insan Tunali & Murat Güray Kirdar & Meltem Dayioglu, 2019. "Female Labor Force Participation In Turkey: A Synthetic Cohort (Panel) Analysis, 1988-2013," Working Papers 1378, Economic Research Forum, revised 20 Dec 2019.
    6. Alicia Girón & Amirreza Kazemikhasragh, 2022. "Gender Equality and Economic Growth in Asia and Africa: Empirical Analysis of Developing and Least Developed Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 13(2), pages 1433-1443, June.
    7. Giulia Mancini, 2018. "Women's Labor Force Participation in Italy, 1861-2011," Rivista di storia economica, Società editrice il Mulino, issue 1, pages 3-68.
    8. Greulich,Angela & Dasre,Aurélien & Inan,Ceren, 2015. "Fertility transition in Turkey?who is most at risk of deciding against child arrival ?," Policy Research Working Paper Series 7310, The World Bank.
    9. Nthabeleng Lillian Moshoeshoe & Baorong Yu, 2021. "Economic Growth and Participation of Women in Labor Markets: The Case of Southern Africa," International Journal of Science and Business, IJSAB International, vol. 5(1), pages 30-41.
    10. Santosh Mehrotra & Jajati K. Parida, 2021. "Stalled Structural Change Brings an Employment Crisis in India," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 64(2), pages 281-308, June.
    11. Mancini, Giulia, 2019. "The determinants of female labor supply in Italy, 1881-2018," MPRA Paper 102165, University Library of Munich, Germany.
    12. Mehrotra, Santosh & Parida, Jajati K., 2017. "Why is the Labour Force Participation of Women Declining in India?," World Development, Elsevier, vol. 98(C), pages 360-380.
    13. Hasibuana Laras Kinanti & Evi Noor Afifah, 2023. "Feminization U Curve: Structural Transformation Impact on Female Labour Force Participation in Asia," Gadjah Mada Economics Working Paper Series 202308006, Department of Economics, Faculty of Economics and Business, Universitas Gadjah Mada.
    14. Luca J. Uberti & Elodie Douarin, 2023. "The Feminisation U, cultural norms, and the plough," Journal of Population Economics, Springer;European Society for Population Economics, vol. 36(1), pages 5-35, January.
    15. Francine D. Blau, 2014. "Comment on "The Female Labor Force and Long-run Development: The American Experience in Comparative Perspective"," NBER Chapters, in: Human Capital in History: The American Record, pages 198-203, National Bureau of Economic Research, Inc.
    16. Tunalı, İnsan & Kırdar, Murat G. & Dayıoğlu, Meltem, 2021. "Down and up the “U” – A synthetic cohort (panel) analysis of female labor force participation in Turkey, 1988–2013," World Development, Elsevier, vol. 146(C).
    17. BILAN Yuriy & OMRAN Emad Attia Mohamed, 2022. "Female Labour Force Participation and the Economic Development in Egypt," European Journal of Interdisciplinary Studies, Bucharest Economic Academy, issue 01, March.
    18. Molinder, Jakob, 2022. "Historical roots of the dual-earner model: Women’s labour force participation in Sweden, 1870–1960," Lund Papers in Economic History 244, Lund University, Department of Economic History.
    19. Anyanwu, Sarah Olanrewaju & Adesanya, Babatunde Moses, 2021. "Female Labour Force Participation and Economic Growth Nexus: Evidence from Nigerian Economy," MPRA Paper 106933, University Library of Munich, Germany.
    20. Elena Prodi & Stefano Ghinoi & Lauretta Rubini & Francesco Silvestri, 2023. "Do informal institutions matter for the economic resilience of European regions? A study of the post-2008 shock," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 40(1), pages 189-223, April.
    21. 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).
    22. Angela Greulich & Aurélien Dasre & Ceren Inan, 2015. "Fertility Transition in Turkey Who Is Most at Risk of Deciding against Child Arrival?," Working Papers hal-01298857, HAL.
    23. Canessa, Eugenia & Giannelli, Gianna Claudia, 2021. "Women's Employment and Natural Shocks," IZA Discussion Papers 14055, Institute of Labor Economics (IZA).
    24. Antara Bhattacharyya & Sushil Kr. Haldar, 2020. "Does U Feminisation Work in Female Labour Force Participation Rate? India: A Case Study," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 63(1), pages 143-160, March.

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