Abstract:
Persistent gender inequalities hinder economic development and in this context the role of FLFP cannot be undermine. The purpose of the study is to focus on gender inequality in Pakistan and Bangladesh as both countries share similar cultural and socio-economic background. Gender related indices such as gender inequality index and global gender gap index indicate that Bangladesh is doing exceptionally well as compared to Pakistan. The study examines the impact of independent variable including ready-made garments export, agricultural credit, contraceptive usage, fertility rate, education, and income inequality on female labour force participation. The study covers for the period 1984-2014 for the two countries. Different statistical techniques were applied to test the impact of independent variables on Female Labour Force Participation. Results showed that RMG has a positive and a highly significant relationship with FLFP in the short and long run for Bangladesh whereas in Pakistan it has a negative relationship with FLFP. The fertility rate and GINI have a negative relationship with FLFP for both countries and it is significant. Agricultural credit has also contributed to the FLFP in both countries, but the impact is more for Pakistan compared to Bangladesh. Contraceptive usage has a positive relationship in Bangladesh in both long run and short run, whereas for Pakistan the contraceptive usage has a positive and significant relationship in the short run but in the long run it becomes insignificant. Overall, education has a positive relationship with FLFP for both countries. We propose certain policy implications based on the findings.
