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Gender equity and the escape from poverty

Author

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  • Prettner, Klaus
  • Strulik, Holger
Abstract
We set up a unified growth model with gender-specific differences in tastes for consumption, fertility, education of daughters and sons, and consider the intra-household bargaining power of spouses. In line with the empirical regularity for less developed countries, we assume that mothers desire to have no more children than fathers and to invest no less in education per child. We then show that female empowerment has the potential to promote the transition from a state of high fertility, low education, and sluggish economic growth towards a state of low fertility, high education, and fast economic growth if the child quantity-quality preferences of spouses differ substantially. In this case targeted policies to empower women have the potential to constitute a successful development strategy. We demonstrate the robustness of this finding with respect to endogenously evolving bargaining power and division of child-rearing time within the household.

Suggested Citation

  • Prettner, Klaus & Strulik, Holger, 2014. "Gender equity and the escape from poverty," University of Göttingen Working Papers in Economics 216, University of Goettingen, Department of Economics.
    • Handle: RePEc:zbw:cegedp:216
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    Cited by:

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    4. Prettner, Klaus & Seiffert, Sebastian, 2018. "The size of the middle class and educational outcomes: Theory and evidence from the Indian subcontinent," Hohenheim Discussion Papers in Business, Economics and Social Sciences 14-2018, University of Hohenheim, Faculty of Business, Economics and Social Sciences.
    5. Lehmann-Hasemeyer, Sibylle H. & Prettner, Klaus & Tscheuschner, Paul, 2020. "The scientific revolution and its role in the transition to sustained economic growth," Hohenheim Discussion Papers in Business, Economics and Social Sciences 06-2020, University of Hohenheim, Faculty of Business, Economics and Social Sciences.
    6. David E Bloom & Michael Kuhn & Klaus Prettner, 2020. "The contribution of female health to economic development [The costs of missing the Millennium Development Goal on gender equity]," The Economic Journal, Royal Economic Society, vol. 130(630), pages 1650-1677.
    7. Thang Dao & Matthias Kalkuhl & Chrysovalantis Vasilakis, 2022. "The slow demographic transition in regions vulnerable to climate change," ISER Discussion Paper 1190, Institute of Social and Economic Research, Osaka University.
    8. Hiller, Victor & Touré, Nouhoum, 2021. "Endogenous gender power: The two facets of empowerment," Journal of Development Economics, Elsevier, vol. 149(C).
    9. Youssouf Merouani & Faustine Perrin, 2022. "Gender and the long-run development process. A survey of the literature [Rethinking age heaping: A cautionary tale from nineteenth-century Italy]," European Review of Economic History, European Historical Economics Society, vol. 26(4), pages 612-641.
    10. Manuel Santos Silva & Stephan Klasen, 2021. "Gender inequality as a barrier to economic growth: a review of the theoretical literature," Review of Economics of the Household, Springer, vol. 19(3), pages 581-614, September.
    11. Kang, Chuankun & Fu, Zhengxin & Zhao, Shuchen, 2024. "Maternal relative income, bargaining power, and children's education expenditure," Economic Analysis and Policy, Elsevier, vol. 81(C), pages 1395-1410.
    12. Evelyn Nwamaka Ogbeide-Osaretin & Bright Orhewere, 2020. "Population Growth, Gender Inequality and Economic Development in Nigeria," Business & Management Compass, University of Economics Varna, issue 1, pages 47-64.
    13. David E. Bloom & Alex Khoury & Vadim Kufenko & Klaus Prettner, 2021. "Spurring Economic Growth through Human Development: Research Results and Guidance for Policymakers," Population and Development Review, The Population Council, Inc., vol. 47(2), pages 377-409, June.
    14. Strulik, Holger, 2019. "Desire And Development," Macroeconomic Dynamics, Cambridge University Press, vol. 23(7), pages 2717-2747, October.
    15. Pierre‐Richard Agénor & Kamer K. Ozdemir & Emmanuel Pinto Moreira, 2021. "Gender Gaps in the Labour Market and Economic Growth," Economica, London School of Economics and Political Science, vol. 88(350), pages 235-270, April.
    16. Klaus Prettner & Holger Strulik, 2017. "It's a Sin—Contraceptive Use, Religious Beliefs, and Long-run Economic Development," Review of Development Economics, Wiley Blackwell, vol. 21(3), pages 543-566, August.
    17. Leonid V. Azarnert & Slava Yakubenko, 2021. "Effects of Emigration on Gender Norms in Countries of Origin," CESifo Working Paper Series 9450, CESifo.
    18. Santos Silva, Manuel & Alexander, Amy C. & Klasen, Stephan & Welzel, Christian, 2023. "The roots of female emancipation: Initializing role of Cool Water," Journal of Comparative Economics, Elsevier, vol. 51(1), pages 133-159.
    19. Siwan Anderson, 2022. "Unbundling female empowerment," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 55(4), pages 1671-1701, November.
    20. Pierre-Richard Agénor, 2018. "A Theory of Social Norms, Women's Time Allocation, and Gender Inequality in the Process of Development," Centre for Growth and Business Cycle Research Discussion Paper Series 237, Economics, The University of Manchester.
    21. Agénor, Pierre-Richard & Agénor, Madina, 2023. "Access to infrastructure and women’s time allocation: Implications for growth and gender equality," Journal of Macroeconomics, Elsevier, vol. 75(C).

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    More about this item

    Keywords

    female empowerment; intra-household bargaining; fertility transition; education; economic growth;
    All these keywords.

    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

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