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Female Labour Force Participation and Economic Development in Southern Mediterranean Countries: What Scenarios for 2030?


Stella Tsani


The Centre for Euro Asian Studies, University of Reading; E3M Lab, National Technical University of Athens

Leonidas Paroussos


National Technical University of Athens (NTUA) - School of Electrical and Computer Engineering

Costas Fragiadakis


National Technical University of Athens (NTUA) - School of Electrical and Computer Engineering

Ioannis Charalambidis


National Technical University of Athens (NTUA) - School of Electrical and Computer Engineering

Pantelis Capros


National Technical University of Athens (NTUA) - School of Electrical and Computer Engineering

December 10, 2012

MEDPRO Technical Report No. 19/December 2012

Abstract:     
This paper investigates the relationship between female labour force participation rates and economic growth in southern Mediterranean countries. A two-step methodology involving econometric estimations and the use of a general equilibrium model was used for this purpose.

The econometric estimations suggest that there is a U-shaped relationship between economic growth and female labour force participation rates and they indicate the presence of region-specific barriers impeding women's entry into the labour force in southern Mediterranean countries.

The econometric results were fed into a general equilibrium model, the GEM-E3-MEDPRO, which was used to simulate two alternative assumptions on developments in female labour participation rates in the region up to 2030. The first of these simulated changes in female labour force participation rates arising from income level trends projected for the period 2015–2030 in southern Mediterranean countries. The second assumed the lowering of region-specific barriers which deter female labour force participation.

The results of these simulations suggest that lower female labour force participation rates may lead to marginally lower economic growth in the region, while the removal of region-specific barriers to female labour force participation may encourage economic growth. This has important policy implications, suggesting that policies intended to remove such barriers could help to promote the growth of the region's economies.

Number of Pages in PDF File: 21

Keywords: female labour, female labour force, southern Mediterranean, growth, region-specific barriers

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Date posted: December 14, 2012  

Suggested Citation

Tsani, Stella and Paroussos, Leonidas and Fragiadakis, Costas and Charalambidis, Ioannis and Capros, Pantelis, Female Labour Force Participation and Economic Development in Southern Mediterranean Countries: What Scenarios for 2030? (December 10, 2012). MEDPRO Technical Report No. 19/December 2012. Available at SSRN: http://ssrn.com/abstract=2187297

Contact Information

Stella Tsani (Contact Author)
The Centre for Euro Asian Studies, University of Reading ( email )
P.O. Box 218
Reading, RG6 6AA
United Kingdom
E3M Lab, National Technical University of Athens ( email )
9 Iroon Polytechniou Str
Athens, 157 53
Greece
Leonidas Paroussos
National Technical University of Athens (NTUA) - School of Electrical and Computer Engineering ( email )
Athens
Greece
Costas Fragiadakis
National Technical University of Athens (NTUA) - School of Electrical and Computer Engineering
Athens
Greece
Ioannis Charalambidis
National Technical University of Athens (NTUA) - School of Electrical and Computer Engineering
Athens
Greece
Pantelis Capros
National Technical University of Athens (NTUA) - School of Electrical and Computer Engineering ( email )
Athens
Greece
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References:  57
Citations:  1
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