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Capital Market Integration and Gender Inequality

Mizuki Komura and Hikaru Ogawa

No 11885, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This study explores the effects of globalization on gender inequality. Specifically, we depict that, in terms of capital market integration, globalization alters the gender gap in wage rates through changes in labor demand for capital-intensive sectors. Consequently, globalization leads to opposite effects on the couple's labor supply and fertility decisions in capital-importing and capital-exporting countries, via changes in the bargaining positions of men and women. Moreover, by considering the properties of the industrial structures of capital-importing and capital-exporting countries, our result shows that globalization induces empirically observed declines in fertility rates throughout the world.

Keywords: globalization; capital market integration; gender inequality; domestic production (search for similar items in EconPapers)
JEL-codes: F15 F21 F66 J12 J13 J16 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-gen, nep-int and nep-lab
Date: 2018-10
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Forthcoming in: Review of Development Economics, 2019

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