The Impact of Gender Inequality on Economic Growth: An Empirical Approach for OECD Countries

Author:

Talafha Qusai1,AlSamman Ala

Affiliation:

1. The Hashemite University

Abstract

Abstract In this paper we explain how we used the generalized method of moments (GMM) analysis technique to estimate the relationship between the gender wage gap and economic performance for an unbalanced panel data for both OECD and European countries during the period 1980–2015. The results show that an increase of 1% in wage inequality between the two genders leads to a 0.002% decrease in the economic growth rate per capita in the case of OECD countries and a 0.003% decrease in the case of European countries. The relationship is statistically significant at 5% and 10% for each of the country groups respectively, which is consistent with previous studies.

Publisher

Research Square Platform LLC

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