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The Impact of Gender Inequality in Education and Employment on Economic Growth in Developing Countries: Updates and Extensions

Using cross-country and panel regressions, we investigate to what extent gender gaps in education and employment (proxied using gender gaps in labor force participation) reduce economic growth. Using most recent data and investigating a long time period (1960-2000), we update the results of previous studies on education gaps on growth and extend the analysis to employment gaps using panel data. We find that gender gaps in education and employment significantly reduce economic growth. The combined ‘costs’ of education and employment gaps in Middle East and North Africa and South Asia amount respectively to 0.9-1.7 and 0.1- 1.6 percentage point differences in growth compared to East Asia. Gender gaps in employment appear to have an increasing effect on economic growth differences between regions, with the Middle East and North Africa and South Asia suffering from slower growth in female employment.

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File URL: http://www2.vwl.wiso.uni-goettingen.de/ibero/working_paper_neu/DB175.pdf
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Paper provided by Ibero-America Institute for Economic Research in its series Ibero America Institute for Econ. Research (IAI) Discussion Papers with number 175.

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Length: 39 pages
Date of creation: 10 Sep 2008
Date of revision:
Handle: RePEc:got:iaidps:175
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  1. Barro, Robert J & Lee, Jong-Wha, 2001. "International Data on Educational Attainment: Updates and Implications," Oxford Economic Papers, Oxford University Press, vol. 53(3), pages 541-63, July.
  2. Berta Esteve-Volart, 2004. "Gender Discrimination and Growth: Theory and Evidence from India," STICERD - Development Economics Papers - From 2008 this series has been superseded by Economic Organisation and Public Policy Discussion Papers 42, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
  3. Abu-Ghaida, Dina & Klasen, Stephan, 2003. "The Costs of Missing the Millennium Development Goal on Gender Equity," Discussion Papers in Economics 2, University of Munich, Department of Economics.
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  7. Harold Alderman & Jere R. Behrman & David R. Ross & Richard Sabot, 1996. "Decomposing the Gender Gap in Cognitive Skills in a Poor Rural Economy," Journal of Human Resources, University of Wisconsin Press, vol. 31(1), pages 229-254.
  8. Barro, Robert J. & Lee, Jong-Wha, 1994. "Sources of economic growth," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 40(1), pages 1-46, June.
  9. Schultz, T. Paul, 1993. "Demand for children in low income countries," Handbook of Population and Family Economics, in: M. R. Rosenzweig & Stark, O. (ed.), Handbook of Population and Family Economics, edition 1, volume 1, chapter 8, pages 349-430 Elsevier.
  10. Paul Collier & Jan Willem Gunning, 1999. "Why Has Africa Grown Slowly?," Journal of Economic Perspectives, American Economic Association, vol. 13(3), pages 3-22, Summer.
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  12. Galor, Oded & Weil, David N, 1996. "The Gender Gap, Fertility, and Growth," American Economic Review, American Economic Association, vol. 86(3), pages 374-87, June.
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  16. Cavalcanti, Tiago & Tavares, José, 2007. "The Output Cost of Gender Discrimination: A Model-Based Macroeconomic Estimate," CEPR Discussion Papers 6477, C.E.P.R. Discussion Papers.
  17. Francisco Rodriguez & Dani Rodrik, 2001. "Trade Policy and Economic Growth: A Skeptic's Guide to the Cross-National Evidence," NBER Chapters, in: NBER Macroeconomics Annual 2000, Volume 15, pages 261-338 National Bureau of Economic Research, Inc.
  18. Busse, Matthias & Spielmann, Christian, 2004. "Gender Inequality and Trade," HWWA Discussion Papers 308, Hamburg Institute of International Economics (HWWA).
  19. David H. Romer & Jeffrey A. Frankel, 1999. "Does Trade Cause Growth?," American Economic Review, American Economic Association, vol. 89(3), pages 379-399, June.
  20. Stephanie Seguino & Maria Sagrario Floro, 2003. "Does Gender have any Effect on Aggregate Saving? An empirical analysis," International Review of Applied Economics, Taylor & Francis Journals, vol. 17(2), pages 147-166.
  21. Blecker, Robert A & Seguino, Stephanie, 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 103-19, February.
  22. Paula K. Lorgelly & P. Dorian Owen, 1999. "The effect of female and male schooling on economic growth in the Barro-Lee model," Empirical Economics, Springer, vol. 24(3), pages 537-557.
  23. Seguino, Stephanie, 2000. "Gender Inequality and Economic Growth: A Cross-Country Analysis," World Development, Elsevier, vol. 28(7), pages 1211-1230, July.
  24. Stephanie Seguino, 2000. "Accounting for Gender in Asian Economic Growth," Feminist Economics, Taylor & Francis Journals, vol. 6(3), pages 27-58.
  25. Swamy, Anand & Knack, Stephen & Lee, Young & Azfar, Omar, 2001. "Gender and corruption," Journal of Development Economics, Elsevier, vol. 64(1), pages 25-55, February.
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  27. M. Anne Hill & Elizabeth King, 1995. "Women's education and economic well-being," Feminist Economics, Taylor & Francis Journals, vol. 1(2), pages 21-46.
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