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In: Economics

Female labor force participation (LFP) tends to be markedly lower in the MENA region when compared...

  1. Female labor force participation (LFP) tends to be markedly lower in the MENA region when compared to other world regions. Some scholars have claimed that this phenomenon can be traced to the traditional culture and/or the dominant religion (i.e., Islam) in the region. Others attribute the outcome to the presence large natural resource rents.

Some scholars have argued that rather reducing female LFP, natural resource rents may actually be associated with higher female LFP rates. What are the theoretical arguments and the empirical evidence in favor of this hypothesis?

Solutions

Expert Solution

FEMALE LABOR FORCE PARTICIPATION IN MIDDLE EAST AND NORTH AFRICAN REGIONS

The female labor force participation is the lowest in these areas when compared to the other regions of the world. And the most noted thing for this low participation is the following of the patriarchy system in the regions, were male enjoy a much more benefits in all areas than the female. The higher education doesn't boost up their labor participation rate, as they are neglected to consider for the higher official posts that men holds in the labor market. But the lower basic level of education may help them to find a job for them. The tradition and culture followed is the driving force for this existing Condition.

The rent in economics indicates the surplus of production and the profit generated and the resource rent in economics is the idea associated with the generation of the economic rents from the natural resources in that area. And when we consider the natural resources associated with the MENA region, mainly the deposition of the petroleum products. We can categorize the nations into two; One is oil dependent countries and other is Non- oil dependent countries. And the result is that the oil dependent countries accounts for higher female labor participation than the others. The average participation rate is higher when compared to the other nations. Hence we can assume the fact that there is a relationship exists in between the natural resource rent and female labor participation rate.

Both in the public and private sector the job Opportunity created is too low. And most preferably to work in the public sector due to the working conditions and other benefits. The women in the private sector is too low and they are assigned into household works and family based business and no individual platform is provided.


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