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Female Education Externality and Inclusive Growth

Author

Listed:
  • Gihoon Hong

    (Department of Economics, Pusan National University, Busan 46241, Korea)

  • Soyoung Kim

    (Graduate School of Public Policy, University of Tokyo, Tokyo 113-0033, Japan)

  • Geunhwan Park

    (Department of Economics, Pusan National University, Busan 46241, Korea)

  • Seung-Gyu Sim

    (Department of International Economics, Aoyama Gakuin University, Tokyo 150-8366, Japan)

Abstract

Education is generally believed to be beneficial in fostering, independent of gender, higher labor productivity. Female education may, however, cause other socio-economic gains which are not captured by higher wage or better compensation package for the educated female worker in the labor market (positive externality). This paper investigates the casual effect of enhancing female education and reducing gender education inequality on various measures of sustainable development. After addressing the endogeneity issue associated with gender education inequality employing a novel instrumental variable (IV), we find mitigating gender education inequality to be associated with lower infant mortality and poverty rates and improvements in health and environmental conditions. Our IV estimation result reports that a one-standard-deviation increase in the female-to-male ratio of average years of schooling is associated with a lower poverty rate by about 0.98 percentage points. The results indicate that expanding women’s educational opportunities is an effective way to promote inclusive growth.

Suggested Citation

  • Gihoon Hong & Soyoung Kim & Geunhwan Park & Seung-Gyu Sim, 2019. "Female Education Externality and Inclusive Growth," Sustainability, MDPI, vol. 11(12), pages 1-12, June.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:12:p:3344-:d:240438
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    References listed on IDEAS

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    2. Jakob Dirksen & Sabina Alkire, 2021. "Children and Multidimensional Poverty: Four Measurement Strategies," Sustainability, MDPI, vol. 13(16), pages 1-36, August.
    3. Jusaj Yvesa & Fetai Besnik, 2022. "Does Female Education Generate Economic Growth? An Empirical Analysis of Western Balkan Countries," Studia Universitatis Babeș-Bolyai Oeconomica, Sciendo, vol. 67(1), pages 1-10, April.
    4. Kiran Zahra & Mudassar Yasin & Baserat Sultana & Zulqarnain Haider & Raheela Khatoon, 2021. "Impact of Women Education on Economic Growth: An Evidence from Pakistan," Journal of Economic Impact, Science Impact Publishers, vol. 3(2), pages 113-120.
    5. Scharlin-Pettee, Sophie & Admasu, Yeshwas & Alkire, Sabina, 2024. "Multidimensional poverty, gender, and forced displacement: a multi-country, intrahousehold analysis in Sub-Saharan Africa," LSE Research Online Documents on Economics 126053, London School of Economics and Political Science, LSE Library.
    6. Amaia Altuzarra & Catalina Gálvez-Gálvez & Ana González-Flores, 2021. "Is Gender Inequality a Barrier to Economic Growth? A Panel Data Analysis of Developing Countries," Sustainability, MDPI, vol. 13(1), pages 1-21, January.

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