Publication: The Influence of COVID-19 on Young Women’s Labor Market Aspirations and Expectations in India
Loading...
Date
2024-06-18
ISSN
Published
2024-06-18
Editor(s)
Abstract
Youth unemployment and gender gaps in labor market outcomes are key policy challenges across developing countries. Young job-seekers may struggle to find jobs because of their biased beliefs and unrealistic aspirations about the labor market. This study examines whether exposure to the COVID-19 pandemic influenced the labor market aspirations and expectations of female vocational students in Haryana, India. Exposure to the pandemic lowered young women’s wage aspirations and made them more realistic, especially in rural areas. A potential mechanism for these effects was the decline in rural women’s willingness to migrate for work due to the pandemic.
Link to Data Set
Citation
“Anukriti, S; Herrera-Almanza, Catalina; Ochmann, Sophie. 2024. The Influence of COVID-19 on Young Women’s Labor Market Aspirations and Expectations in India. Policy Research Working Paper; 10808. © World Bank. http://hdl.handle.net/10986/41739 License: CC BY 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Publication Geopolitics and the World Trading System(Washington, DC: World Bank, 2024-12-23)Until the beginning of this century, the GATT/WTO system worked. Economic research provided a compelling explanation. It showed that if governments maximize the well-being of their own countries broadly defined, GATT/WTO principles would facilitate mutually beneficial cooperation over their trade policy choices. Now heightened geopolitical rivalry seems to have undermined the WTO. A simple transposition of the previous rationalization suggests that geopolitics and trade cooperation are not compatible. The paper shows that this is only true if rivalry eclipses any consideration of own-country well-being. In all other circumstances, there are gains from trade cooperation even with geopolitics. Furthermore, the WTO’s relevance is in question only if it adheres too rigidly to its existing rules and norms. Through measured adaptation to the geopolitical imperative, the WTO can continue to thrive as a forum for multilateral trade cooperation in the age of geopolitics.Publication Chinese Imports and Industrialization in Africa(Washington, DC: World Bank, 2025-05-12)The rise of China in the global economy has been linked with negative impacts on employment across many high- and middle-income countries. However, evidence for African countries is limited. This paper investigates the causal relationship between Chinese imports and manufacturing employment in Ethiopia. Imports may harm domestic firms through a revenue effect (lower market shares) or benefit them, indirectly if competition spurs innovation or directly through access to better quality or cheaper inputs. The analysis shows that a one unit increase in import penetration leads to a 15.2 percent increase in industry employment. The inputs effect is disentangled from the other two effects by decomposing total Chinese imports by their end-use category using input-output tables. The evidence shows that imported intermediate inputs are driving the employment gains. The findings are consistent with the idea that employment gains are a result of productivity gains and increases in capacity utilization. These employment gains appear to benefit large firms and labor-intensive industries disproportionately.Publication VAT Exemptions, Embedded Tax, and Unintended Consequences(Washington, DC: World Bank, 2025-05-15)The value-added tax (VAT) has proved to be a highly effective tool at raising revenue in developed and developing countries alike. However, the effective operation of the VAT breaks down in the presence of exemptions. Unlike zero rates, exemptions deny input tax credits, thereby increasing production costs and resulting in VAT being embedded within the prices of goods and services. This paper develops a VAT model based on input-output table and household budget survey data for 29 European countries to examine the effects of VAT exemptions on final prices and to assess the merits of their use. Simulation results show that exemptions suffer from the same targeting problems as reduced VAT rates, but, in addition, they are non-transparent and have unpredictable and counterproductive indirect effects. These effects are in addition to the well-known distortionary impact of exemptions on production decisions, and their creation of incentives to self-supply. The paper concludes that the use of exemptions should be limited to addressing pragmatic concerns, such as the disproportionate compliance costs of small businesses and the practical difficulty in taxing margin-based financial services.Publication Disentangling the Key Economic Channels through Which Infrastructure Affects Jobs(Washington, DC: World Bank, 2025-04-03)This paper takes stock of the literature on infrastructure and jobs published since the early 2000s, using a conceptual framework to identify the key channels through which different types of infrastructure impact jobs. Where relevant, it highlights the different approaches and findings in the cases of energy, digital, and transport infrastructure. Overall, the literature review provides strong evidence of infrastructure’s positive impact on employment, particularly for women. In the case of electricity, this impact arises from freeing time that would otherwise be spent on household tasks. Similarly, digital infrastructure, particularly mobile phone coverage, has demonstrated positive labor market effects, often driven by private sector investments rather than large public expenditures, which are typically required for other large-scale infrastructure projects. The evidence on structural transformation is also positive, with some notable exceptions, such as studies that find no significant impact on structural transformation in rural India in the cases of electricity and roads. Even with better market connections, remote areas may continue to lack economic opportunities, due to the absence of agglomeration economies and complementary inputs such as human capital. Accordingly, reducing transport costs alone may not be sufficient to drive economic transformation in rural areas. The spatial dimension of transformation is particularly relevant for transport, both internationally—by enhancing trade integration—and within countries, where economic development tends to drive firms and jobs toward urban centers, benefitting from economies scale and network effects. Turning to organizational transformation, evidence on skill bias in developing countries is more mixed than in developed countries and may vary considerably by context. Further research, especially on the possible reasons explaining the differences between developed and developing economies, is needed.Publication Economic Consequences of Trade and Global Value Chain Integration(World Bank, Washington, DC, 2025-04-04)This paper introduces a new approach to measuring Global Value Chains (GVC), crucial for informed policy-making. It features a tripartite classification (backward, forward, and two-sided) covering trade and production data. The findings indicate that traditional trade-based GVC metrics significantly underestimate global GVC activity, especially in sectors like services and upstream manufacturing, and overstate risks in early trade liberalization stages. Additionally, conventional backward-forward classifications over-estimate backward linkages. The paper further applies these measures empirically to assess how GVC participation mediates the impact of demand shocks on domestic output, highlighting both the exposure and stabilizing potential of GVC integration. These new measures are comprehensively available on the World Bank’s WITS Platform, providing a key resource for GVC analysis.
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Curse of the Mummy-ji(John Wiley and Sons, 2020-08-23)Restrictive social norms and strategic constraints imposed by family members can limit women's access to and benefits from social networks, especially in patrilocal societies. We characterize young married women's social networks in rural India and analyze how inter-generational power dynamics within the household affect their network formation. Using primary data from Uttar Pradesh, we show that co-residence with the mother-in-law is negatively correlated with her daughter-in-law's mobility and ability to form social connections outside the household, especially those related to health, fertility, and family planning. Our findings suggest that the mother-in-law's restrictive behavior is potentially driven by the misalignment of fertility preferences between the mother-in-law and the daughter-in-law. The lack of peers outside the household lowers the daughter-in-law's likelihood of visiting a family planning clinic and of using modern contraception. We find suggestive evidence that this is because outside peers (a) positively influence daughter-in-law's beliefs about the social acceptability of family planning and (b) enable the daughter-in-law to overcome mobility constraints by accompanying her to health clinics. Wiley Terms and Conditions, https://authorservices.wiley.com/author-resources/Journal-Authors/licensing/self-archiving.htmlPublication Bring a Friend(Washington, DC : World Bank, 2022-06)This paper experimentally tests whether enabling individuals to incentivize others to socialize with them can strengthen social networks and improve well-being. The paper examines family planning access for women in India, who tend to be socially isolated and for whom peer support may overcome intrahousehold constraints. Enabling women to jointly visit a clinic with other women not only increased social ties and strengthened peer engagement, but also increased clinic visits and contraceptive use. Moreover, this intervention was more effective in improving reproductive autonomy of women who faced greater intrahousehold opposition than an intervention that only improved women’s own access to the clinic.Publication The Impacts of COVID-19 on Female Labor Force Participation in the Islamic Republic of Iran(Washington, DC: World Bank, 2024-06-12)Although female labor force participation in the Islamic Republic of Iran is among the lowest in the world, there is a lack of studies on the effects of the COVID-19 pandemic on the country’s female labor force participation. This paper finds that female labor force participation decreased during the pandemic years by around 1 percentage point in 2021 and 2022. When controlling for excess mortality rates, the declines increase by as much as 3.9 and 8.7 percentage points in late 2021 and early 2022, respectively. Compared to the modest, pre-pandemic female labor force participation rates, these figures translate into 5 percent and 18-40 percent decreases, respectively. There is heterogeneity, with more educated individuals being more likely to work. Compared to married individuals, divorcees were more likely to work, and those who were widowed or never married were less likely to work. The results offer relevant inputs for labor policies, particularly those aimed at reducing gender inequalities.Publication The Welfare and Labor Market Impacts of the Livelihoods Intervention of the UPSNP(Washington, DC: World Bank, 2024-05-31)Improving the livelihoods of poor households and transitioning them to the labor force is a major challenge in Ethiopia. Productive safety nets that include livelihood grants and other support services could be a promising intervention toward this end. However, the evidence on the welfare and labor market impacts of such interventions is limited. This study provides empirical evidence on the development impacts of livelihood grants and support with a focus on welfare and labor market outcomes. The data for this study come from baseline and livelihoods endline household surveys undertaken between 2016 and 2022. The results show that self-employment (compared to wage employment) is the preferred livelihood modality selected by PW beneficiaries. Yet, few UPSNP beneficiaries are successful in establishing or expanding self-employment opportunities or engaging in wage employment. This is primarily because beneficiaries tend to utilize the livelihoods grant to cover regular and emergency household expenditures, especially during challenging economic times such as during the COVID-19 pandemic. The impact evaluation results show that livelihood grants and services have a positive impact on household business ownership but impacts on earnings, consumption, and assets are insignificant. These findings have important implications for the design of future similar interventions.Publication Never Too Young to Dream Big(Washington, DC: World Bank, 2024-06-26)This paper links the literatures on technical assistance and access to finance by examining a Mexican program that provided capacity-building grants to nonbank financial institutions (NBFIs) serving micro, small, and medium enterprises (MSMEs). Using ten years of data from 81 credit unions and a staggered difference-in-differences approach, the analysis shows that the program improved NBFIs’ efficiency, enabling them to obtain more funding from private sources and leading to a 79 percent increase in lending. The findings suggest that technical assistance initiatives can strengthen NBFIs’ ability to expand credit access for underserved MSMEs.
Users also downloaded
Showing related downloaded files
Publication Media and Messages for Nutrition and Health(World Bank, Washington, DC, 2020-06)The Lao People’s Democratic Republic (Lao PDR) has experienced rapid and significant economic growth over the past decade. However, poor nutritional outcomes remain a concern. Rates of childhood undernutrition are particularly high in remote, rural, and upland areas. Media have the potential to play an important role in shaping health and nutrition–related behaviors and practices as well as in promoting sociocultural and economic development that might contribute to improved nutritional outcomes. This report presents the results of a media audit (MA) that was conducted to inform the development and production of mass media advocacy and communication strategies and materials with a focus on maternal and child health and nutrition that would reach the most people from the poorest communities in northern Lao PDR. Making more people aware of useful information, essential services and products and influencing them to use these effectively is the ultimate goal of mass media campaigns, and the MA measures the potential effectiveness of media efforts to reach this goal. The effectiveness of communication channels to deliver health and nutrition messages to target beneficiaries to ensure maximum reach and uptake can be viewed in terms of preferences, satisfaction, and trust. Overall, the four most accessed media channels for receiving information among communities in the study areas were village announcements, mobile phones, television, and out-of-home (OOH) media. Of the accessed media channels, the top three most preferred channels were village announcements (40 percent), television (26 percent), and mobile phones (19 percent). In terms of trust, village announcements were the most trusted source of information (64 percent), followed by mobile phones (14 percent) and television (11 percent). Hence of all the media channels, village announcements are the most preferred, have the most satisfied users, and are the most trusted source of information in study communities from four provinces in Lao PDR with some of the highest burden of childhood undernutrition.Publication Economic Recovery(World Bank, Washington, DC, 2021-04-06)World Bank Group President David Malpass spoke about the world facing major challenges, including COVID, climate change, rising poverty and inequality and growing fragility and violence in many countries. He highlighted vaccines, working closely with Gavi, WHO, and UNICEF, the World Bank has conducted over one hundred capacity assessments, many even more before vaccines were available. The World Bank Group worked to achieve a debt service suspension initiative and increased transparency in debt contracts at developing countries. The World Bank Group is finalizing a new climate change action plan, which includes a big step up in financing, building on their record climate financing over the past two years. He noted big challenges to bring all together to achieve GRID: green, resilient, and inclusive development. Janet Yellen, U.S. Secretary of the Treasury, mentioned focusing on vulnerable people during the pandemic. Kristalina Georgieva, Managing Director of the International Monetary Fund, focused on giving everyone a fair shot during a sustainable recovery. All three commented on the importance of tackling climate change.Publication Education, Social Norms, and the Marriage Penalty(Washington, DC: World Bank, 2024-10-16)A growing literature attributes gender inequality in labor market outcomes in part to the reduction in female labor supply after childbirth, the child penalty. However, if social norms constrain married women’s activities outside the home, then marriage can independently reduce employment, even in the absence childbearing. Given the correlation in timing between childbirth and marriage, conventional estimates of child penalties will conflate these two effects. The paper studies the marriage penalty in South Asia, a context featuring conservative gender norms and low female labor force participation. The study introduces a split-sample, pseudo-panel approach that allows for the separation of marriage and child penalties even in the absence of individual-level panel data. Marriage reduces women’s labor force participation in South Asia by 12 percentage points, whereas the marginal penalty of childbearing is small. Consistent with the central roles of both opportunity costs and social norms, the marriage penalty is smaller among cohorts with higher education and less conservative gender attitudes.Publication Global Regulations, Institutional Development, and Market Authorities Perspective Toolkit (GRIDMAP) - Framework and Methodology(Washington, DC: World Bank, 2024-12-05)GRIDMAP--the Global Regulations, Institutional Development, and Market Authorities Perspective Toolkit--provides emerging markets and developing economies (EMDEs) with a “Minimum Package” of policies to build markets that are trustworthy, safe, and competitive. The “Minimum Package” sets out essential regulatory provisions, institutional arrangements, and implementation and enforcement needed for those markets to thrive. GRIDMAP will provide modules focused on various subjects of market regulation, such as consumer protection and data markets.Publication Remarks at the United Nations Biodiversity Conference(World Bank, Washington, DC, 2021-10-12)World Bank Group President David Malpass discussed biodiversity and climate change being closely interlinked, with terrestrial and marine ecosystems serving as critically important carbon sinks. At the same time climate change acts as a direct driver of biodiversity and ecosystem services loss. The World Bank has financed biodiversity conservation around the world, including over 116 million hectares of Marine and Coastal Protected Areas, 10 million hectares of Terrestrial Protected Areas, and over 300 protected habitats, biological buffer zones and reserves. The COVID pandemic, biodiversity loss, climate change are all reminders of how connected we are. The recovery from this pandemic is an opportunity to put in place more effective policies, institutions, and resources to address biodiversity loss.