How Gender Equality Boosts Economic Development: 9 Key Areas

Gender Equality is essential for social progress and economic development. It is a basic human right that every human is entitled to have. This article explores the relationship between gender equality and economic development by exploring society’s different components. 

Equality in a society is not necessarily focused on genders, such as men, women, and non-binary people. But it also means equality between different income groups that including low-income, middle-income, and people with high income. As this website is focused on gender issues hence you will discover gender-related elements.

Fair distribution of resources and opportunities has a long-lasting impact on economies. The elements discussed in this article can be used as inspiration by researchers and policy-makers for economic development. Focusing on gender equality increases the capabilities of the individual to exercise their social, economic, and political rights. 

How Can Gender Equality Lead to Economic Development

1. Gender Equality and Economic Development with Education

When girls and women have equal access to education it results in higher economic development. Education gives them a door to gain new skills and expertise to join the labor force that increases the economic growth of a country.

However, it is important for policy-makers to consider ground reality. The outcome of gender equality and economic development in education might not be similar for all countries. Countries with poor infrastructure can hold back a country’s economic growth. 

Similarly, social and cultural norms can also hinder the economic development of a country. Even if women have gender equality in education. At times educated women face restrictions in mobility. They are not allowed to travel alone or do a job.

Therefore, policy-makers developing policies should be vigilant to discover the barriers that might stop women from being a part of the labor force of a country.

2. Gender Equality and Economic Development with Empowerment

Gender equality gives power to women. When women are empowered they can take control of their lives. They are empowered to make decisions that can lead to the economic development of a country.

Empowered women are more likely to be educated, have control over their fertility, and have fewer children. Additionally, these women make decisions that have a positive impact on their lives and lives associated with them, such as their children. 

This means that they can invest more time and resources in their children. This improves nutrition, health, and educational opportunities for their children. 

A low fertility rate along with healthy and educated children is a direct contribution to the next generation of human capital. This increases the economic growth of a country.

3. Gender Equality and Economic Development with Increased Human Capital

The stock of human capital is a main driver for economic development. Human capital or human asset is the knowledge, skills, and ability of a woman or a man that allows them to be part of the labor force of a country.

Gender equality in a country increases the ratio of human capital. When women have equal access to education and employment they become part of the human asset. They bring in fresh ideas and add new perspectives and talent to the pool of human capital. The participation of women in the workforce enhances creativity, innovation, and problem-solving — collectively leading to an increase in productivity and economic growth.

4. Gender Equality and Economic Development with Competitive Markets

Social and cultural norms act as barriers to women’s economic activities. In some countries, women face discrimination in accessing financial services. Such as they face difficulties in taking loans, signing a contract, or when purchasing a property.

These practices hinder women’s entrepreneurial activities. Women are discouraged from executing business activities. This results in lower market competition and lower economic output. Hence, gender equality plays an important role in developing a competitive market environment leading to economic growth.

5. Gender Equality and Economic Development with Agriculture Productivity

Women play a significant role in agricultural productivity. Discrimination and exclusion of women’s labor force negatively impact the agricultural development and economic growth of a country.

Women farm owners often face discrimination in the access and use of physical and human capital. Unequal distribution of resources, lack of cash, limited use of pesticides, and agricultural machinery drop the productivity of women farm owners. 

Another big issue that strengthens gender inequality are gender barriers that women face across nations. Social and cultural norms expect women to fulfill care and domestic responsibilities. Additionally, women are expected to provide unpaid work on farms.

Eliminating such discrimination and paving the path of gender equality leads to economic growth.

6. Gender Equality and Economic Development by Eradicating Poverty

The level of poverty is reduced when women have equal access to education, employment opportunities, and economic activities. As discussed previously, education equips women with new skills and opens new opportunities for them.

Gender equality leading to improved financial conditions empowers women to spend money on their children. An increase in purchasing power and circulation of money in an economy eradicates poverty. This practice improves the quality of life and the increase in demand for goods and services that accelerate economic growth.

7. Gender Equality and Economic Development with Politics

Women who live in gender-inclusive societies have the liberty to actively participate in politics. In these societies women have the freedom to vote, stand for elections, and run election campaigns.

Equal representation of women in politics contributes to highlighting women’s issues. This is an important factor in developing gender-responsive policies that promote gender equality.

These policies act as a strong pillar to facilitate and foster the economic activities of women. When women receive fair treatment in the home and community, it positively impacts social and economic development. 

8. Gender Equality and Economic Development with Peace 

Societies that succeed in providing equal social, economic, and political opportunities to their members are often more peaceful and stable. Gender inequality and discrimination can cause hate, conflict, and violence. 

So, societies that foster gender equality are pro to stability and economic development. Such societies are at low risk of social and political unrest and conflicts.  

9. Gender Equality and Economic Development with Health

Gender Equality is an important factor that leads to healthier societies and economic growth. Women with equal access to health information and facilities are more productive and empowered. 

Healthy women are in a better position to actively participate in social and economic activities. Women’s health is also an important factor that contributes to healthier children and families. 

A society with healthy individuals is in a position to fully exploit their potential leading to prosperous economies. 

Concluding Remarks

Gender equality leading to women’s empowerment can unlock social well-being and economic growth for societies. Hence, gender equality and economic development go hand in hand and are the need of the hour!

Social and economic challenges that countries are facing today can be tackled by fostering gender-equal approaches. Through attaining gender equality societies can achieve a prosperous and sustainable future.