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Is Pro-Labor Law Pro-Women? Evidence from India

  • Josef Montag

    ()

    (Faculty of Business and Economics, Mendel University in Brno)

This paper analyses the effects of state-level differences in labor regulation on labor market outcomes of women in India. I find that labor regulation has a large negative effect on women’s economic activity, mainly employment. A one standard deviation increase in the labor regulation measure decreases the probability of a woman being economically active by 3% to 4%—the implied decrease in female labor force is 15% to 18%. There is no significant effect on the gender wage gap. Finally, labor regulation is associated with women having less say at home and a lower sex ratio.

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Paper provided by Mendel University in Brno, Faculty of Business and Economics in its series MENDELU Working Papers in Business and Economics with number 2013-40.

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Length: 44
Date of creation: Sep 2013
Date of revision:
Handle: RePEc:men:wpaper:40_2013
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  6. Besley, Timothy J. & Burgess, Robin, 2002. "Can Labour Regulation Hinder Economic Performance? Evidence from India," CEPR Discussion Papers 3260, C.E.P.R. Discussion Papers.
  7. Ghazala Azmat & Maia Güell & Alan Manning, 2006. "Gender Gaps in Unemployment Rates in OECD Countries," Journal of Labor Economics, University of Chicago Press, vol. 24(1), pages 1-38, January.
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  9. Weichselbaumer, Doris & Winter-Ebmer, Rudolf & Zweimüller, Martina, 2007. "Market Orientation and Gender Wage Gaps. An International Study," Economics Series 217, Institute for Advanced Studies.
  10. Fortin, N.M. & Lemieux, T., 1996. "Rank Regressions, Wage Distributions and the Gender Gap," Cahiers de recherche 9607, Universite de Montreal, Departement de sciences economiques.
  11. John DiNardo & Nicole M. Fortin & Thomas Lemieux, 1995. "Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Approach," NBER Working Papers 5093, National Bureau of Economic Research, Inc.
  12. Remco H. Oostendorp, 2009. "Globalization and the Gender Wage Gap," World Bank Economic Review, World Bank Group, vol. 23(1), pages 141-161, January.
  13. Sandra E. Black & Philip E. Strahan, 2001. "The Division of Spoils: Rent-Sharing and Discrimination in a Regulated Industry," American Economic Review, American Economic Association, vol. 91(4), pages 814-831, September.
  14. Orley Ashenfelter & Timothy Hannan, 1986. "Sex Discrimination and Product Market Competition: The Case of the Banking Industry," The Quarterly Journal of Economics, Oxford University Press, vol. 101(1), pages 149-173.
  15. Rana Hasan & Devashish Mitra & K.V. Ramaswamy, 2007. "Trade Reforms, Labor Regulations, and Labor-Demand Elasticities: Empirical Evidence from India," The Review of Economics and Statistics, MIT Press, vol. 89(3), pages 466-481, August.
  16. Dora L. Costa & Matthew E. Kahn, 2008. "Learning from the Past," NBER Chapters, in: Heroes and Cowards: The Social Face of War National Bureau of Economic Research, Inc.
  17. Blau, Francine D & Kahn, Lawrence M, 1992. "The Gender Earnings Gap: Learning from International Comparisons," American Economic Review, American Economic Association, vol. 82(2), pages 533-38, May.
  18. Prashant Bharadwaj & Leah K. Lakdawala, 2013. "Discrimination Begins in the Womb: Evidence of Sex-Selective Prenatal Investments," Journal of Human Resources, University of Wisconsin Press, vol. 48(1), pages 71-113.
  19. Aditya Bhattacharjea, 2006. "Labour Market Regulation and Industrial Performance in India--A Critical Review of the Empirical Evidence," Working papers 141, Centre for Development Economics, Delhi School of Economics.
  20. Ahsan, Ahmad & Pagés, Carmen, 2008. "Are All Labor Regulations Equal? Evidence from Indian Manufacturing," IZA Discussion Papers 3394, Institute for the Study of Labor (IZA).
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