Did Trade Liberalization Benefit Female Workers? Evidence from Egypt on Wage and Employment Effects

Shireen AlAzzawi

Chapter 16 in Women, Work and Welfare in the Middle East and North Africa:The Role of Socio-demographics, Entrepreneurship and Public Policies, 2016, pp 445-477 from World Scientific Publishing Co. Pte. Ltd.

Abstract: Egypt has undergone a dramatic, albeit slow, economic reform and trade liberalization that has reduced its average tariff rates by more than 50 percent over 15 years. This study investigates the extent of gender discrimination in Egyptian manufacturing, and the impact of trade reform on the gender wage gap and on female employment. Results indicate that the gender wage gap, most of which is unexplained by worker characteristics, has widened over time. Results indicate that trade liberalization is associated with a tradeoff for women in the labor market: in industries facing a larger change in the degree of import competition, there is higher female employment, but only at the expense of a wider gender wage gap. Industries facing a larger change in the degree of their export intensity, on the other hand, have witnessed a decline in their gender wage gap but also a fall in female employment. These patterns have important implications for policymakers attempting to create more equitable labor market conditions.

Keywords: Middle East and North Africa; Women's Welfare; Gender Studies (search for similar items in EconPapers)
Date: 2016
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