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Winter 2024
ISSN 0890-913X
Volume 39, Number 4

Gender Disparities in Economic Freedom and Human Capital

Angela K. Dills, Western Carolina University
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Dills,AngelaK.2024.GenderDisparitiesinEconomicFreedomandHumanCapital.”JournalofPrivateEnterprise,39(4):125.GenderDisparitiesinEconomicFreedomandHumanCapitalAngelaK.Dills*WesternCarolinaUniversityUnitedStatesofAmericaAbstractEconomicfreedomraisesincomesandeconomicgrowth,partlythroughincreasedhumancapitalinvestment.Whenmenandwomendifferintheeconomicfreedomtheyexperience,weexpectgirlsandboystofacedifferentreturnstohumancapitalinvestment.Usingcountry-levelpaneldataandcountryfixedeffects,Iestimatehowgenderdisparityineconomicfreedomaffectsgendergapsinhumancapitalaccumulation.Closinggenderdisparitiesineconomicfreedomraisesfemaleliteracyratesandmayimprovefemalelearningoutcomes.JELCodes:O15,E24,I2I.IntroductionInhigh-incomecountries,gendergapsineducationalattainmenthaveclosedandevenreversed,withwomenstayinginschoollongerthanmen(OrganisationforEconomicCo-operationandDevelopment2022).Inmuchoftherestoftheworld,however,womencontinuetolagbehindmeninliteracyrates,educationalattainment,andothermeasuresofhumancapital(UNESCO2022).Yetfemaleeducationisparticularlyimportantforeconomicdevelopment,withgendergapsineducationsignificantlyslowingeconomicgrowth(KlasenandLamanna2009;CuberesandTeignier2016).Inthispaper,Iexplorehowgenderdisparitiesineconomicfreedomaffectgendergapsineducation.Inplaceswherewomenareaffordedlesseconomicfreedomthanmen,weexpectthereturntoinvestinginhumancapitaltobelowerforgirls.TheempiricalanalysisusestheIndexofGenderDisparityinLegalRights(GDLR)andsexspecificmeasuresofeducationaloutcomesincludingtheWorldBanksgloballyrepresentativeharmonizedlearningoutcomes(HLOs)*IthankMegTuszynskiandtheBridwellInstitutefortheirsupportofthisprojectandBradHumphreysforhisdetailedcommentsonanearlierversionofthispaper.
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