Inter-relationship among Female Labour - Force Participation, Fertility and Economic Development: Evidences from India

Abstract

The female labour-force participation rate has been falling in India despite a sharp increase in economic growth and development. The falling share of the female population in the labour force is a matter of concern from a different perspective. It raises the question of the inclusiveness of economic growth. On the other way round, female workforce participation is having significance in regard to its contribution to economic growth. The fertility rate is considered another important component of this relationship. The present study makes an attempt to explore the relationship between female workforce participation, fertility, and economic development using ARDL-based time series analysis. The study observed the existence of long run cointegration among fertility, female – labour force participation and economic development. The result of the study shows fertility rate is negatively associated with economic development and female labour force participation. Further, economic development is inversely dependent on both female labour force participation rate and fertility rate. The findings of the study may contribute to the economic literature and be conducive to formulating a better economic policy in order to achieve economic growth with gender equality.