Female labor participation rate us
After decades of steady gains, U. With fewer workers contributing to the economy, economic growth and improvement in living standards have been weaker than they otherwise would have been. Understanding the U. After lagging behind U. Since that time, the U. We analyze some of the potential determinants of this shift, including demographic, economic, and policy factors.
Labour force participation rate (female-male ratio)
One way to explore the importance of women to economic growth is to consider the share of adult women who are participating in the labor market. For example, if workers in two countries are equally productive but the countries have different fractions of their populations working, then the country in which a larger share of people are working will produce more output per person. Hence, to the extent that countries increase the engagement of women in their workforces, this has the potential to increase economic output.
As illustrated in Figure 1, female labor force participation rates vary substantially across countries. This variation is particularly apparent across regions of the world. Countries in Central Africa and Southeast Asia consistently have some of the highest female labor force participation rates, whereas countries in northern Asia, the Middle East, and southwest Asia have some of the lowest. Looking beyond this regional variation, it may be surprising at first glance to find that female participation in the labor force is high in both countries with a high GDP, such as Canada 61 percent and Norway 61 percent , as well as many low GDP countries, such as Burundi 80 percent and Mozambique 83 percent.
This clear U-shape relationship can be seen even more clearly by plotting the relationship between female labor force participation and GDP per capita in Figure 2.
The share of women who are working increases GDP per capita, but at the same time, women change their work decisions based on their financial circumstances and the financial viability of forgoing the additional family income that working would generate. Female labor-force participation rates are among the highest in low-income countries where women are engaged in subsistence activities.
But as GDP rises, some women who otherwise would have worked out of necessity will choose not to work and instead spend their time on activities outside of the labor market. For example, some women will choose to engage in home production activities rather than pursuing formal work.
Others are attending school, or staying in school longer, to develop additional human capital that will increase their productivity in years where they are working. Schooling, however, cannot fully explain the relationship seen in Figure 2, as Claudia Goldin has found a similar U-shape when looking only at women ages 25 to Furthermore, economic development among these low-GDP countries often comes from a shift away from agricultural employment and into industrialized employment.
This shifts the number and nature of jobs that are available to women. Labor force participation can also decline because of the associated stigma in some societies against families where women are engaging in these industrialized blue-collar jobs.
Hence, the downward relationship between GDP and female labor force participation rates at the lower end of the distribution is not an indication that lower female labor force participation rates increase GDP, but instead is indicative of women changing their work decisions as GDP rises. Meanwhile, this downward trend reverses among middle- and higher-income countries where female labor force participation rises with GDP. Additionally, holding productivity per worker constant, an increase in the share of adults who are working through a rise in the female labor force participation rate will directly increase GDP per capita.
This approach reflects the relationship between the gender gap and GDP, rather than just the share of women who are working overall. Nevertheless, the overall pattern remains the same, with relative employment rates for women falling with GDP among lower-income countries and then rising with GDP as income increases further. A third way to think about how increased female labor force participation rates can contribute to economic growth is to ask how much GDP would increase if women worked at the same rate as men, and earned the same wages.
To do so, we can hold male wages and employment rates constant and observe how an increase in gender parity would affect GDP. This is equivalent to adding 1 percentage point per year to global GDP growth 11 p. In part these growth rates reflect a shift from home production activities, which are excluded from GDP, to labor market activities, which are included in GDP.
Nevertheless, the results of these studies highlight the potential for additional growth as a result of moving toward gender parity in employment through increased participation of women in the labor force.
The analysis above indicates that there is much room to bring additional women into the labor force and to grow the economy as a result. Trump Vice President Michael R. Type Your Search Press enter to search.
Graph and download economic data for Labor Force Participation Rate - Women (LNS) from Jan to Mar about females, participation. Women now comprise nearly half of the U.S. labor force at percent (U.S. Bureau Women in the Midwest have the strongest labor force participation rates.
Most of the conversation about women and work revolves around how the economy impacts women; we know comparatively less about how women in turn affect the economy. Differing female labor force participation rates across U. It found that as more women joined the workforce, they helped make cities more productive and increased wages. While the exact mechanism driving this is unclear, cities should consider whether there is more that can be done to help more women enter the workforce. The increase of women in the paid workforce was arguably the most significant change in the economy in the past century.
Data in this graph are copyrighted.
One way to explore the importance of women to economic growth is to consider the share of adult women who are participating in the labor market. For example, if workers in two countries are equally productive but the countries have different fractions of their populations working, then the country in which a larger share of people are working will produce more output per person.
Relationship Between Female Labor Force Participation Rates and GDP
The labour force participation rates is calculated as the labour force divided by the total working-age population. The working age population refers to people aged 15 to This indicator is broken down by age group and it is measured as a percentage of each age group. Compare variables. Find a country by name. Show baseline: OECD.
Labour force participation rate
Equitable Growth supports research and policy analysis on how strong competition among U. Equitable Growth supports research and policy analysis on how unequal access to care, 21st century work-life policies, and education undermines stable, broad-based economic growth. Equitable Growth supports research and policy analysis on how trends in economic inequality and mobility and changes in the economy have affected the concentration of wealth, income, and earnings, and how these distributional shifts have affected the promise of economic security and opportunity. Equitable Growth supports research and policy analysis on how tax and macroeconomic policies can promote stable and broad-based economic growth. When women join the labor force, economies tend to grow more. See Figure 1. Figure 1. For women in the United States, labor force participation rates have not followed a straight path.
PIP: This article critically reviews the literature on fertility and female labor force behavior in the US, with particular emphasis on recent quantitative research by economists, demographers, and sociologists. It examines the empirical evidence regarding the influence on fertility and female employment of certain key variables, i.
Additional Information. Show source. Show sources information Show publisher information. Civilian labor force is a term used by the U.
When More Women Join the Workforce, Wages Rise — Including for Men
Source: ILO a. Geneva: ILO. Accessed December, Data in the tables are those available to the Human Development Report Office as of 15 November, , unless otherwise specified. Skip to main content. Labour force participation rate female-male ratio Download the data. HDI Rank Country Very high human development 0. High human development 0. Medium human development 0. Low human development 0. South Sudan.. Somalia 0. San Marino.. Marshall Islands..
Female labor force behavior and fertility in the United States.
The fictional Rosie, depicted on posters and magazine covers, became the symbol of women who joined the US factory workforce during World War II, jump-starting the rise in female labor force participation in postwar America. Why does this matter? This can lean against the negative economic effects of aging, which shrinks the workforce and lowers growth. Several researchers have also demonstrated that a larger presence of women in the workforce and the elevation of women to prominent positions can help foster income equality, diversify the economy, and boost the profitability and efficiency of businesses. Female labor force participation is trending up across Asia, with many other countries catching up to Vietnam. On average, female participation rates in Asia have increased by about 6 percentage points since see Chart 1 and lie not far behind the levels seen in advanced Western economies IMF Our forthcoming paper looks at the evolution of female labor force participation in Asia. The improving overall picture reflects some convergence in female labor force participation rates in Asia toward the better performers in the region and globally. Australia, Hong Kong SAR, Malaysia, New Zealand, and Singapore recorded significant gains—above 10 percentage points—over the past decade, in line with improvements seen in nations such as Sweden, which has one of the highest female participation rates among advanced economies. Japan and South Korea have marginally improved upon historically stagnant or declining participation.
