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Spillovers from gender equality onto economic equality: Evidence from 162 nations

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  • Michael A. Nelson
  • Rajeev K. Goel

Abstract

This paper studies the influence of different aspects of gender equality or female empowerment on income inequality. A key question addressed is: Are there positive spillovers from gender equality to income equality? Using data drawn from 162 nations over the years 1985–2019, results show that nations with a long history of women's suffrage, greater representation of women in the government, lower fertility rates and better overall gender equality experienced lower income inequality, ceteris paribus. These results are largely supported in several robustness checks, including different model estimation strategies to address potential reverse‐causality issues, considering alternative measures of income inequality, and considerations of persistence and nonlinearities in the gender inequality measures. The spillovers from some dimensions of gender equality are found to be sensitive to existing income inequality. Policymakers ignoring the payoffs from gender empowerment on income distribution might be underinvesting in initiatives to empower women.

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  • Michael A. Nelson & Rajeev K. Goel, 2023. "Spillovers from gender equality onto economic equality: Evidence from 162 nations," Journal of International Development, John Wiley & Sons, Ltd., vol. 35(6), pages 1365-1388, August.
    • Handle: RePEc:wly:jintdv:v:35:y:2023:i:6:p:1365-1388
    DOI: 10.1002/jid.3731
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    1. Michael A. Nelson & Rajeev K. Goel, 2023. "Spillovers from gender equality onto economic equality: Evidence from 162 nations," Journal of International Development, John Wiley & Sons, Ltd., vol. 35(6), pages 1365-1388, August.

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    More about this item

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • E25 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Aggregate Factor Income Distribution
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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