China's Rebalancing and Gender Inequality

Author/Editor:

Mariya Brussevich ; Era Dabla-Norris ; Bin Grace Li

Publication Date:

May 12, 2021

Electronic Access:

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Disclaimer: IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.

Summary:

This paper examines gender inequality in the context of structural transformation and rebalancing in China. We document declining women's relative wages and labor force participation in China during the last two decades, despite rapid growth and expansion of the service sector. Using household data, we provide evidence consistent with a U-shaped relationship between economic development and women's labor market outcomes. Using a model of structural transformation, we show that labor market barriers for women have increased over time. Model counterfactuals suggest that removing these barriers and increasing service sector productivity can boost both gender equality and economic growth in China.

Series:

IMF Working Paper No. 2021/138

Frequency:

regular

English

Publication Date:

May 12, 2021

ISBN/ISSN:

9781513573779/1018-5941

Stock No:

WPIEA2021138

Pages:

27

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