Assessing the effect of gender-related legal reforms on female labour participation and GDP per capita in the Central American region

Women's participation in the labour market in Central America, Panama, and the Dominican Republic (CAPADOM) is low by international standards. Increasing their participation is a goal of many policymakers who want to improve women's access to quality employment. This study uses data from C...

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Bibliographic Details
Published in:Regional statistics (Budapest) 2023, Vol.13 (3), p.391-411
Main Authors: López-Marmolejo, Arnoldo, Rodríguez-Caballero, C. Vladimir
Format: Article
Language:English
Subjects:
Economic activity
Economic development
Economic growth
Economy
Employment
Empowerment
Family leave
GDP
Gender equity
Geography, Regional studies
Gross Domestic Product
Inequality
International standards
Labor force
Labor market
Law
Literature reviews
Macroeconomics
Maternity & paternity leaves
Per capita
Sex discrimination
Social Sciences
Variables
Women
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Summary:Women's participation in the labour market in Central America, Panama, and the Dominican Republic (CAPADOM) is low by international standards. Increasing their participation is a goal of many policymakers who want to improve women's access to quality employment. This study uses data from CAPADOM to assess whether gender equality in the law increases women's participation in the labour force and, if that is the case, the extent to which this boosts GDP per capita. To do so, the authors use a panel VAR model. The results show that CAPADOM could increase female labour participation rate by 6 percentage points (pp) and GDP per capita by 1 pp by introducing gender-related legal changes such as equal pay for equal work, paid parental leave, and allowing women to do all the same jobs as men.
ISSN:2063-9538
2064-8243
DOI:10.15196/RS130301