Female Labor Force Participation and Gross Value Added: Long-run Analysis for OECD Sample

Abstract

This study is an attempt to find the role of female labor force participation on the economic performance indicated as gross value added (GVA). Female labor force participation rate (FLPR) is used as the indicator for women’s role in the economy. For this aim, a period spanning the years between 1990 and 2017 is investigated for 36 OECD countries. First, panel unit root tests and cointegration tests are conducted to check stationarity and cointegration. Panel dynamic OLS (PDOLS) estimates give the long-run coefficients. LFPR has a positive effect on most of the OECD countries’ GVA. Results are robust even if women aged over 15 or between 15 and 64 are considered.