Women's Economic Empowerment and Financial Well‐Being: Evidence From Rural China

Di Wang, Rong Kong, Shaoxiong Yang and Zhengxiao Wang

Review of Development Economics, 2025, vol. 29, issue 4, 2550-2560

Abstract: Despite the increased attention given to promoting women's economic empowerment in recent years, particularly in rural areas, its impact on family financial well‐being remains unclear. This study aims to explore the relationship between the two based on survey data collected from China rural areas. The study's findings indicate a positive correlation between women's economic empowerment and financial well‐being. Mechanism analysis reveals that enhanced economic empowerment increases women's educational attainment and social interaction, thereby increasing the likelihood of improved financial well‐being. Additionally, the impact of women's economic empowerment on financial well‐being significantly differs depending on whether the family is located in plain areas; families in non‐plain areas experience a more pronounced effect. Further analysis reveals that entrepreneurial scale negatively moderates the relationship between women's economic empowerment and financial well‐being, with this effect being particularly pronounced in non‐plain areas. This study highlights the importance of enhancing women's economic empowerment and promoting small‐scale entrepreneurship in rural areas as key strategies for improving family well‐being.

Date: 2025
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