FEMALE EMPLOYMENT RATE IN INDIAN SECTORS :PANEL COINTEGRATION AND VECTOR ERROR CORRECTION ANALYSIS

FEMALE EMPLOYMENT RATE IN INDIAN SECTORS :PANEL COINTEGRATION AND VECTOR ERROR CORRECTION ANALYSIS

BY.......DR.DEBESH BHOWMIK

UTTARPRADESH UTTARAKHAND ECONOMIC ASSOCIATION ECONOMIC JOURNAL

VOLUME-14,CONFERENCE NO-14, OCTOBER 2018

14TH ANNUAL CONFERENCE ,GIDS LUCKNOW,
29-30 OCTOBER,2018,PAGE-304-309

FEMALE EMPLOYMENT RATE IN INDIAN SECTORS:PANEL COINTEGRATION AND VECTOR ERROR CORRECTION ANALYSIS

Dr.Debesh Bhowmik

Abstract

In this paper,author endeavours to evaluate empirical investigation on the sectoral female employment rate  in India during 1991-2016 through panel data analysis using regression, panel cointegration and panel vector error correction methodology taking sectoral shares, growth rates of sectors and value added in sectors as independent variables. The paper concludes that the panel regression found that female employment rate of all sectors is negatively related with GDP shares of sectors and growth rates of sectors during 1991-2016 in India. Fisher-Johansen panel cointegration test showed that there are two cointegrating equations among female employment rates of all sectors with GDP shares, growth rates of sectors and value added of the sectors during the said periods. The panel VECM is stable but nonstationary. In VECM system equations, Wald test suggested that there is long run association among growth rate of sectors, value added of sectors and female employment rate of all sectors and there is short causality from growth rates of sectors on shares of sectors and vice versa. Even, there is no short run causality from shares of sectors and growth rate of sectors on value added of sectors. There is no short run causality running from shares of sectors, growth rates of sectors and value added of sectors on female employment rate in all sectors.

Key words-sectoral employment rate, female employment rate, sectoral shares, sectoral growth rates, value added in sectors, Fisher-Johansen cointegration, vector error correction

JEL Classification-C33,J21,J64,L60,L80,Q10

The paper concludes that the panel regression found that female employment rate of all sectors is negatively related with GDP shares of sectors and growth rates of sectors during 1991-2016 in India. Fisher-Johansen panel cointegration test showed that there are two cointegrating equations among female employment rates of all sectors with GDP shares, growth rates of sectors and value added of the sectors during the said periods. The panel VECM is stable but nonstationary. In VECM system equations, Wald test suggested that there is significant long run association among growth rate of sectors, value added of sectors and female employment rate of all sectors and there is short causality from growth rates of sectors on shares of sectors and vice versa. Even, there is no short run causality from shares of sectors and growth rate of sectors on value added of sectors. There is no short run causality running from shares of sectors, growth rates of sectors and value added of sectors on female employment rates in all sectors.