Indian paradox : rising education, declining women’s employment

Abstract

The study uses the first comprehensive Indian income data to evaluate whether the “other family income” effect explains the negative relationship between women’s education and labor force participation. In India, women’s education has a U-shaped relationship with labor force participation. This has been attributed to an income effect whereby women with more education marry into richer families that enable them to withdraw from the labor force. Results suggest that another factor at play is occupational sex segregation, which excludes moderately educated Indian women from clerical and sales jobs

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