Lawful Progress: Unveiling the Laws That Reshape Women’s Work Decisions
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Summary:
This paper examines the impact of women’s legal rights on labor force participation decisions made by women and men through a granular analysis of 35 gendered laws. Building on previous literature, it departs from the analysis using aggregate indices due to concerns about (i) the usability of an index for policymaking purposes, (ii) the economic interpretation of an index’s average marginal effects, (iii) and the implicit assumption of homogeneous effects underlying regressions with an index. The findings identify nine key laws that can foster female labor force participation. Notably, laws related to household dynamics and women’s agency within the family, such as divorce and property rights laws, and laws regarding the ability of women to travel outside the home, are especially important in influencing their decision to work. The paper also shows that improving women’s legal rights does not improve their labor force participation through a substitution effect as it has no systematic negative effect on men’s labor force participation.
Series:
Working Paper No. 2023/252
Subject:
Financial inclusion Financial markets Gender Gender inequality Labor Labor force Labor force participation Women
Frequency:
regular
English
Publication Date:
December 8, 2023
ISBN/ISSN:
9798400261039/1018-5941
Stock No:
WPIEA2023252
Format:
Paper
Pages:
31
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