Declining Trends in Female Labour Force Participation in India: Evidence from NSSO
The recent evidence from NSS reveals a decline in female labour force participation in India. The decline is difficult to explain in terms of economic variable as country is experiencing rapid economic changes. Perhaps age and cohort factors meaning that educational and time period advantages might be leading to postponement of labour market participation. The objective of the study is to investigate the declining trends in female labour force participation by sorting out the trends into age, period and cohort effect. To study this OLS regression model is used and the data for the study drawn from NSSO rounds. The findings suggest that age and period changes can account for a substantial decline in labour force participation though the importance of cohort is not undermined. Provision of higher education and creation of employment opportunities to younger cohorts of women will increase the labour force participation rate in near future.
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