Week 3 - Week 3 Notes Does Inequality Reduce Growth and Development Stephan Klassen Cross country data o Sample of 190 countries(developed and

Week 3 - Week 3 Notes Does Inequality Reduce Growth and...

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Week 3 Notes 02/02/2015 Does Inequality Reduce Growth and Development? Stephan Klassen Cross country data o Sample of 190 countries (develop ed and develop ing ) Panel regression To investigate, to what extent gender inequality/biases in education and employment o negative impact, growth and development economic growth reduction in fertility and child mortality Literature o 1. In many developing countries, Education Employment Health outcomes o 2. Gender inequality: mortality rate (S. Asia and China) Missing women, by Amartya Sen. o 3. In education: S. Asia, Sub-Saharan Africa o 4. Differences in employment opportunities and pay Gender inequality in education and access to resources
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o Prevents a reduction in child mortality o Expansion of education Reduces economic growth ° Linkage between Gender Inequality and Economic Growth o 1. Selection-Distortion factor of Gender Inequality in Education o 2. Direct externality factor women are not participating in education then overall quality of education will come down o 3. Indirect externality factor/demographic 1. reduced fertility lowers the dependency burden 2. more people in work forceboosts investment 3. lower fertilitymore time, more opportunities 4. Interaction between gender inequality in education, fertility, investment, and economic growth o 4. Selection distortion effect of Employment Inequality
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  • Fall '08
  • Detemple,J
  • Child mortality

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