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Trade and Female Labor Participation : Stylized Facts Using a Global Dataset

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  • Rocha,Nadia
  • Winkler,Deborah Elisabeth

Abstract

Using a cross-section of more than 29,000 manufacturing firms in 64 developing and emerging countries from the World Bank's Enterprise Surveys, this paper assesses whether trading firms have a female labor share premium relative to non-trading firms. It focuses on four types of trading firms: exporters, importers, global value chain participants, and foreign firms. The study finds a female labor share premium for all four trading types, controlling for firm output, capital intensity, total factor productivity, and fixed effects. The findings also hold after controlling for differences in relative wages between men and women and excluding traditional export sectors (apparel and electronics) from the sample. The female labor share premium is much higher for production workers compared with non-production workers, implying that women specialize in low-skill production. In line with these findings, the study finds that the female labor share premium for exporters and global value chain participants is highest in low-tech sectors. And female ownership and management expand the female labor share premium for trading firms. Finally, the results suggest that although average wage rates are lower for firms with higher female labor shares, this negative correlation is smaller for trading firms.

Suggested Citation

  • Rocha,Nadia & Winkler,Deborah Elisabeth, 2019. "Trade and Female Labor Participation : Stylized Facts Using a Global Dataset," Policy Research Working Paper Series 9098, The World Bank.
    • Handle: RePEc:wbk:wbrwps:9098
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    Cited by:

    1. Rotunno, Lorenzo & Roy, Sanchari & Sakakibara, Anri & Vezina, Pierre-Louis, 2023. "Trade Policy and Jobs in Vietnam: The Unintended Consequences of Trump’s Trade War," SocArXiv 9rdne, Center for Open Science.
    2. Linh Thuy Pham & Yothin Jinjarak, 2023. "Global value chains and female employment: The evidence from Vietnam," The World Economy, Wiley Blackwell, vol. 46(3), pages 726-757, March.
    3. Chen, Yunsi & Hu, Dezhuang, 2023. "Why are exporters more gender-friendly? Evidence from China," Economic Modelling, Elsevier, vol. 118(C).
    4. Fernandes,Ana Margarida & Kee,Hiau Looi, 2020. "Gender Empowerment, Supply-Chain Linkages and Foreign Direct Investment : Evidence on Bangladesh," Policy Research Working Paper Series 9340, The World Bank.
    5. Ben Shepherd & Anita Prakash, 2021. "Global Value Chains and Investment: Changing Dynamics in Asia," Books, Economic Research Institute for ASEAN and East Asia (ERIA), number 2021-RPR-01 edited by Ben Shepherd & Anita Prakash, July.
    6. Charles Munene Gachoki, 2022. "Trade Openness and Female Employment: An Empirical Sectoral Analysis from Kenya," International Journal of Science and Business, IJSAB International, vol. 16(1), pages 42-58.
    7. Ana M. Fernandes & Hiau Looi Kee, . "Women empowerment, supply chain linkages and FDI: evidence from Bangladesh," UNCTAD Transnational Corporations Journal, United Nations Conference on Trade and Development.

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