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Global Influences on Gender Inequality: Evidence from Female Employment in Korea

Author

Listed:
  • Jaerim Choi

    (University of Hawai‘i at Manoa)

  • Theresa M. Greaney

    (University of Hawaii at Manoa)

Abstract

Do multinational enterprises (MNEs) from more gender-equal countries bring gender-equal employment practices with them to a less gender-equal host country? Using difference-in-differences, nearest-neighbor-matching, and event study techniques along with firm-level data for Korea, a country with low gender equality, we find evidence that MNEs bring their country of origin’s gender norms in employment with them. Korean firms that switch to majority foreign ownership report 2 to 12 percentage-points higher female shares of permanent main-task workers at firm headquarters compared with non-acquired firms and the differential increases with the level of gender equality in the MNEs’ home countries. We estimate that 1 to 7 percent of the productivity increase caused by foreign acquisition can be attributed to workforce reorganization that may reduce gender-based misallocations of talent.

Suggested Citation

  • Jaerim Choi & Theresa M. Greaney, 2020. "Global Influences on Gender Inequality: Evidence from Female Employment in Korea," Working Papers 202003, University of Hawaii at Manoa, Department of Economics.
    • Handle: RePEc:hai:wpaper:202003
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    Cited by:

    1. Greaney, Theresa M. & Tanaka, Ayumu, 2021. "Foreign Ownership, Exporting and Gender Wage Gaps: Evidence from Japanese Linked Employer-Employee Data," Journal of the Japanese and International Economies, Elsevier, vol. 61(C).
    2. SASAHARA Akira & MORI Hiroaki, 2021. "The Effects of Trade on the Gender Gaps: A Model-based Quantitative Investigation," Discussion papers 21076, Research Institute of Economy, Trade and Industry (RIETI).
    3. Teresa Molina & Mari Tanaka, 2023. "Globalization and Female Empowerment: Evidence from Myanmar," Economic Development and Cultural Change, University of Chicago Press, vol. 71(2), pages 519-565.
    4. Lin, Wen-Ting & Lee, Chia-Ling & Ahlstrom, David, 2023. "Internationalization and breaking the glass ceiling: An institutional perspective," International Business Review, Elsevier, vol. 32(1).
    5. Ricardo Monge-González & Luis Rivera & Nanno Mulder, . "Cultural spillovers from multinational to domestic firms: evidence on female employment in Costa Rica," UNCTAD Transnational Corporations Journal, United Nations Conference on Trade and Development.

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    More about this item

    Keywords

    Gender inequality; Foreign ownership;

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business

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