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The impact of gender inequality on macroeconomic variables in the framework of a DSGE model

Mohammad Mehdi Zare Shahneh (), Zahra Nasrollahi () and Hojat Parsa ()
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Mohammad Mehdi Zare Shahneh: Ph.D. Candidate in Economics, University of Yazd
Zahra Nasrollahi: Associate Professor of Economics, University of Yazd
Hojat Parsa: Assistant Professor of Economics, Uinversity of Persian Gulf

Quarterly Journal of Applied Theories of Economics, 2020, vol. 7, issue 1, 29-60

Abstract: Women, as half of the population of the society, play a decisive role in economic, political and social activities. So, in this paper, the effects of monetary, supply of female labor force and technology shocks on macroeconomic variables such as production, employment of women and men, total employment and gender inequality in the labor market are discussed, in the framework of a DSGE model. The results indicate that monetary and technology shocks increase production, employment of women and men, and total employment. These shocks increase men's employment more than women's, and as a result, gender inequality in the labor market increases. Supply of female labor force shock increases production, total employment and women's employment, and reduces men's employment, as a result, gender inequality in the labor market decreases. This study helps economic policymakers and planners to assess the impact of these shocks on economic variables, especially on the employment of men and women, and gender inequality in the labor market, and, by adopting appropriate policies, reduce the inefficiencies

Keywords: gender inequality; employment; calibration; DSGE model (search for similar items in EconPapers)
JEL-codes: C11 E12 J42 (search for similar items in EconPapers)
Date: 2020
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