A comparative analysis of gender diversity in labour participation and growth in Sub-Saharan African countries

Abstract

In recent years, official statistics on female labour supply in several emerging nations have shown that female labour force participation rates are dropping. Although development organisations have created and implemented non-contextual empowerment initiatives, some of which have improved women's lives, a desirable outcome has not been achieved. A comparative analysis of gender diversity in labour economic participation and growth in sub-Saharan Africa (SSA) was conducted. The study uses pooled least squares, fixed effects, random effects, difference generalised method of moments, and system-generalised method of moments models. Likewise, three models are estimated in the study for disaggregated male and female economic participation factors, respectively, while the third is for aggregate economic participation. In addition, causality was investigated using the panel vector correction model. The findings show that the indicators of human capital and labour economic participation are positive and significant in all three models. However, male human capital and labour economic participation contribute to productivity growth more than aggregate indicators. Also, the female indicators are the lowest contributing factor to growth. Also, the institutional quality is significant in aggregate and male labour economic participation but insignificant in female labour economic participation. The causality result shows one-way causality from female human capital to productivity growth. The study suggests, among others, the need to develop a financing mechanism to expand women-focused human capital interventions in SSA.

Keywords

• Gender diversity
• Female empowerment
• Labour economic participation
• Panel analysis