The Relationship between the Sectoral Structure of Female Employment and Economic Growth and Income Distribution in Türkiye: Empirical Evidence from Fourier-Based Cointegration and Causality Analyses

Aslı Özen Atabey and Mustafa Karakuş

Journal of Research in Economics, Politics & Finance, 2025, vol. 10, issue 2, 677-708

Abstract: This study aims to evaluate the contribution of female labour force to the economy in a more comprehensive framework by analysing the relationship between the sectoral structure of female employment in Türkiye and economic growth and income distribution. Using data from the Turkish economy (1991–2023), the study employs FADL and RALS-FADL cointegration tests to analyze long-term relationships and the Fourier Toda-Yamamoto test to assess causality. The findings indicate significant long-run relationships between women's employment in total, services, industry, and agriculture with economic growth and income distribution. While increased female employment in all sectors improves income distribution, agricultural employment negatively impacts economic growth, and the effect of total female employment on growth remains limited. The causality analysis findings reveal that income distribution is a determining factor for female employment in the service sector and total female employment, while industrial female employment is effective on income distribution. There is also evidence that economic growth affects women's employment in the agricultural sector. These findings indicate that policies targeting female employment have sectorally differentiated impacts on economic growth and income distribution, thus underscoring the necessity for sector-specific targeted strategies.

Keywords: Female Employment; Sectoral Structure; Economic Growth; Income Distribution (search for similar items in EconPapers)
JEL-codes: C32 J16 J23 O11 O15 (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:ahs:journl:v:10:y:2025:i:2:p:677-708

DOI: 10.30784/epfad.1650858

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