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Journal of Business and Socio-economic Development

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Female labour force participation rate and economic growth in sub-Saharan Africa: “a liability or an asset”

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Published in Journal of Business and Socio-economic Development. Published by Emerald Publishing Limited. This article is published under the Creative Commons Attribution (CC BY 4.0) licence. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this licence may be seen at http://creativecommons.org/licences/by/4.0/legalcode

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Abstract

Purpose

This paper aimed examining the contribution of female labour force participation rate on economic growth in the sub-Saharan Africa during the period of 1991–2019.

Design/methodology/approach

The study employed a sample of 42 sub-Sahara African countries using annual data from the World Bank development indicators. The long-run causal effect of female labour force and economic growth was analysed using the Autoregressive Distributed Lag model and Granger causality test for causality and direction since the variables did not have the same order of integration.

Findings

The estimated results indicate that a long-run causal relationship exists between female labour force and economic growth in sub-Sahara Africa and the direction of causality is unidirectional running from economic growth to female labour force. The results also showed that female labour force participation rate negatively and significantly contributes to economic growth (GDP) is sub-Saharan Africa in the long run with an insignificantly negative contribution in the short run hence a liability.

Research limitations/implications

The author recommends the promotion of women’s economic empowerment to encourage female labour force participation to increase economic growth in the entire sub-Saharan region.

Practical implications

This paper adds to existing literature by using more comprehensive and up to econometric analysis and variables. This paper also makes further recommendation on how female labour force participation can boost economic growth in sub-Saharan Africa (SSA).

Originality/value

This paper adds to existing literature by using more comprehensive and up to econometric analysis and variables. This paper also makes further recommendation on how female labour force participation can boost economic growth in SSA.
  • ISSN: 2635-1374
  • e-ISSN: 2635-1692
  • Online date, start – end: 2021
  • Copyright Holder: Ahlia University
  • Open Access: open access
  • Editor: Professor Allam Hamdan

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