Does Fiscal Decentralization Improve Gender Parity in Employment? Evidence from Pakistan
Journal Title: Pakistan Journal of Economic Studies - Year 2022, Vol 5, Issue 1
Abstract
Pakistan has 48.76% female population, however, this population faces many hurdles in labor force participation, since their participation in the labor force is only 29% (world bank, 2021). There are so many factors responsible for female labor force participation, but the present study intends to explore the impact of fiscal decentralization on gender equality in employment since existing literature identified that Fiscal decentralization has a positive effect on employment generation. Using the time series data for Pakistan economy from 1975 to 2020, the study finds the impact of decentralization on gender parity in the labor market. Auto Regressive Distributed Lag model is used to find the long run relationship among the study variables. The results of the models prove the existence of a long-run relationship. The analysis of this study suggests that gender parity in employment can be successfully promoted through fiscal decentralization in Pakistan. It can be concluded that there is a greater ability in the fiscally decentralized economy to increase gender related employment activities compared to the central government.
Authors and Affiliations
Sidra Naeem, Mahnaz Muhammad Ali, Ishtiaq Ahmad
Keywords
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