Abstract
Closely related to the demographic dynamics and the changes in reproductive behavior, it has been observed in Latin America a marked increase of women participation in economic activities. We talk about a gender dividend insofar as this process may turn into a direct contribution of women to the countries’ economic growth and development, complementing and fostering the demographic dividend. Using data from the National Transfer Accounts (NTA) project as well as projections of economically active population and economic output per capita for the Latin American countries – which are available at ECLAC, OECD and other sources – this study aims at describing and projecting (1) women’s labor force participation and earnings in economic activity in a context of gender equality and (2) the magnitude of the related gender dividend (defined as the increase in economic output per person as women achieve economic parity with men in labor markets), vis à vis the economic magnitude of the demographic dividend. This study intends to be a contribution to the theoretical and methodological development of the topic and to contribute to raising awareness and capacity in the countries of the region in assessing the economic impact of demographic changes and incorporating a gender-based approach into sustainable development and poverty reduction policies.
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Notes
- 1.
See Economic Commission for Latin America and the Caribbean (ECLAC), “Statistics and indicators for monitoring MDGs in Latin American and Caribbean countries”, [online], http://www.eclac.cl/cgibin/getProd.asp?xml=/mdg/noticias/paginas/4/35574/P35574.xml&xsl=/mdg/tpl/p18f-st.xsl&base=/mdg/tpl/top-bottom.xsl#indicadoresODM3.
- 2.
The HDI also includes a gender development index one of whose components is the ratio between male and female labor income.
- 3.
- 4.
It is important to note that this indicator refers to labor force participation and therefore it includes both the time in which people are working and that in which they are unemployed.
- 5.
Our simplification assumes no economic output by the population below age 19 and above age 65. In addition, we assume no variation by age in labor force participation rates or in productivity between the ages of 20–64. A more general formula would be \( \mathrm{Y}=\varSigma \mathrm{x}\ \mathrm{y}\left(\mathrm{x}\right)\kern0.5em *\kern0.5em \mathrm{p}\left(\mathrm{x}\right)\kern0.5em *\kern0.5em \mathrm{l}\left(\mathrm{x}\right)/\mathrm{P} \); where Y = GDP per capita, y(x) = output per worker at age x, p(x) = population at age x, l(x) = labor force participation rate at age x, and P = total population.
- 6.
The equation is exact if each factor is growing exponentially, but otherwise a close approximation.
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Miller, T., Saad, P., Martínez, C. (2016). Population Ageing, Demographic Dividend and Gender Dividend: Assessing the Long Term Impact of Gender Equality on Economic Growth and Development in Latin America. In: Pace, R., Ham-Chande, R. (eds) Demographic Dividends: Emerging Challenges and Policy Implications. Demographic Transformation and Socio-Economic Development, vol 6. Springer, Cham. https://doi.org/10.1007/978-3-319-32709-9_2
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