United Nations

A/50/399


General Assembly

Distr. GENERAL  

22 September 1995

ORIGINAL:
ENGLISH


Fiftieth session
Agenda item 95 (f)


SUSTAINABLE DEVELOPMENT AND INTERNATIONAL ECONOMIC COOPERATION:
WOMEN IN DEVELOPMENT

         Effective mobilization and integration of women in development:
         gender issues in macroeconomic policy-making and development
planning

Report of the Secretary-General


CONTENTS

  Paragraphs  Page

I.  INTRODUCTION .........................................    1 -5         

II.  ENGENDERING  DEVELOPMENT:  EVOLUTION OF THE CONCEPT ...    6 -10       


III.  WOMEN'S ACCESS TO PRODUCTIVE EMPLOYMENT AND
  ENTREPRENEURSHIP .....................................   11 - 48        

  A.  Women in the labour market .......................   13 - 26        

  B.  Entrepreneurship .................................   27 - 48        

IV.  GENDER IN  MODELS OF DEVELOPMENT ECONOMICS ............    49 -61      


  A.  Gender in neoclassical development economics .....   51 - 52        

  B.  Gender and the structuralist perspective in
    development economics ............................   53 - 54        

  C.  Gender and outward-oriented development ..........   55 - 61        




95-28861 (E)   021195/...
*9528861*

  CONTENTS (continued)

  Paragraphs  Page

V.  GENDER IN ECONOMIC POLICY:  SOME EXAMPLES ............   62 -71        

VI.  CONCLUSIONS:  STRATEGIES FOR INCREASING THE
  PARTICIPATION OF WOMEN IN ECONOMIC DEVELOPMENT .......   72 - 75        

I.  INTRODUCTION


1.  Reports on  the effective mobilization of women in development have been
submitted to the General Assembly, through  the Economic and Social Council,
regularly on  a biennial  basis  for a  number  of  years, starting  at  the
fortysecond session.

2.   At that  session, by  its resolution 42/178  of 11  December 1987,  the
General  Assembly recognized  the significant  contribution of women  to the
overall economy and  recommended the  intensification of efforts to  promote
the integration  of  women in  development;  it  also urged  Governments  to
include  measures  for  the involvement  of  women, both  as  agents and  as
beneficiaries, in  national development plans, and  to review  the impact on
women  of  development  policies and  programmes.   Subsequent  reports have
emphasized  coordination  of  activities  of  organizations  of  the  United
Nations system relating  to women in  development (A/44/290),  the effective
mobilization  of   women  in   the  implementation   of  the   International
Development  Strategy  for the  Fourth  United  Nations  Development  Decade
(A/46/464) and how gender was dealt with in Agenda 21 (A/48/393).

3.  The 1994  World Survey on  the Role of Women in Development  1/ analysed
changes  in the  role  of women  in development  in  the context  of  global
economic  restructuring,  focusing,  among other  issues, on  the  impact of
development policies  on women.    The Second  Review and  Appraisal of  the
Implementation   of  the   Nairobi   Forward-looking  Strategies   for   the
Advancement   of  Women,   in  its   analysis  of   factors  affecting   the
implementation  of the Strategies, considered a broad range of macroeconomic
and  international trade polices and their impact on the economic and social
status of women.

4.   Accordingly,  building on  the  work  already undertaken,  the  present
report,  the fourth of  the biennial  reports on  the effective mobilization
and  integration  of women  in  development,  focuses  on  gender issues  in
entrepreneurship,  macroeconomic  policy-making  and  development  planning.
The choice  of  this theme  reflects  the  growing recognition  in  academic
circles and among development practitioners of  the need to consider  gender
as a variable in the design of economic policies if their implementation  is
to produce an outcome that is both efficient and socially desirable.

5.  The need  for the explicit incorporation of  gender issues in the design
of economic  policies, particularly policies  of structural adjustment,  has
frequently  been  emphasized  in   the  context  of  expert  group  meetings
organized by the  Division for the  Advancement of Women  of the  Department
for  Policy Coordination  and  Sustainable  Development 2/  and  by  various
international  development  institutions. 3/    The  growing  evidence  from
analyses  that  have  taken  gender  into  account  provides  the  basis for
questioning whether the current economic  models that underpin  national and
international economic policy fully factor in  this critical variable.   The
present report  explores the  wider question  of economic  policy from  this
perspective.


 II.  ENGENDERING DEVELOPMENT:  EVOLUTION OF THE CONCEPT

6.   Consideration of  the meaning and  determinants of  development and  of
development policies has produced a succession  of approaches over the  past

three  decades.   The early preoccupation of  development practitioners with
economic growth gave  way to strategies  to secure  basic needs and  achieve
national  self-reliance as  development came  to  be  redefined in  terms of
poverty reduction.  The lessons  and experience  of a  decade of  structural
adjustment precipitated yet another reassessment of what development is  all
about.     The  notion  of  sustainable  human  development  emphasizes  the
enlargement of the choices and opportunities  available to people and  views
development  as a  participatory, people-centred  and all-inclusive process.
The experience of development policies over the past  decade gave rise to  a
new   growth  theory  combining  efficiency  with  equity  and  providing  a
framework for  analysing  endogenous sources  of growth.   For  most of  the
time,  however,  the  presence  of  women  in  distinct  parts  of  economic
production was largely overlooked by the  prevailing paradigm.  That failure
limited  development efforts  and their  impact.   Economic growth,  project
efficiency and social  justice call for a  new approach to development  that
systematically includes women.

7.   Over the last decade,  women-in-development issues, previously  treated
as an adjunct to  the main goal of  economic development, gradually gained a
greater  prominence  within the  development  agenda  and  efforts,  however
tentative, were  made to  introduce gender  variables into  the analysis  of
variations in economic policy  outcomes.  The early attempt to "add women as
an afterthought" 4/ to  the pre-existing model of development gave way to  a
realization that the success of development  itself was highly contingent on
women's  full  participation  in  it.  Numerous  studies  demonstrated  that
investment  in women was not only a matter of social justice but an integral
part  of development strategy leading  to a more efficient use of resources,
economic  growth and a  sustainable development process.  The impermeability
of  some  countries  to  economic  reforms  and  the  disappointing  results
achieved in others  have been linked  to a  failure to  consider the  gender
dimension of economic adjustment, among other factors.

8.  The Third United Nations Development Decade  ended with a new  awareness
of the need to  give explicit consideration to  the economic and social role
of  women  when  planning  for  development.    The  earlier  model  of  the
"integration"  of women  in development  was  subjected to  much  criticism,
particularly  as  being limited  from the  perspective of  women's strategic
gender  interest. 5/   As a result,  building on  what has  been achieved so
far,  the  women-in-development  approach  evolved  into  the  "gender   and
development"  approach, which focuses on gender relations  as they constrain
or advance  efforts to promote economic  development and  reduce poverty and
seeks not  only to integrate  women into development,  but to  "look for the
potential  in  development  initiative  to  transform unequal  social/gender
relations and to empower women". 6/

9.   Gender analysis, now widely accepted in the field  of development as an
analytical  framework, seeks  to  remedy the  nearly complete  disregard for
gender  in  economic  theory  and  policy-making  by  stressing  the  gender
dimension  of micro-  and macroeconomic  policies  and  the need  to include
gender as a  variable in economic policy-making and development planning.  A
corollary of the gender approach is that there  is not a self-contained  set
of  "women's issues".   It  is rather  the case that  there are  many issues
concerning  economic transformation,  the allocation of  resources, savings,
investment, growth,  human capital  formation, poverty,  the labour  market,
inequality and  the role  of the  State that  could be better  understood if
disaggregation by  sex took  place at  the outset  of conceptualization  and
formulation  of  policies instead  of  passing  references  to  women in  an
otherwise unaltered analysis.

10.   Although recognized by national and international development agencies
as well as  in academic circles, the gender aspect of economic policy-making
has not  been used  as a  planning and policy-making  tool and  there is  no
"sustainable  dialogue  between  planners  and  those  within  the  research
community who  might help  them towards  a gender  analysis". 7/   To bridge
this gap, it is  necessary to bring the tools of economic analysis  together
with  gender  realities  so that  the gender  dimension  can be  included in

policy formulation and analysis.


               III.  WOMEN'S ACCESS TO PRODUCTIVE EMPLOYMENT AND
                     ENTREPRENEURSHIP

11.   Sustainable development  requires a  dynamic equilibrium  of human and
natural  resources.   Given  women's  role  in  both  production and  social
reproduction, sustainable  development is,  by definition,  a process  where
women's  role is central.   During  the United Nations Decade  for Women and
following  the  adoption of  the  Nairobi  Forward-looking  Strategies,  the
centrality  of women's  role to  development  found recognition  in numerous
policies   and   programmes   adopted  by   Governments   and  international
development  and finance  institutions  to enhance  women's  integration  in
development.   Those efforts, however, focused  primarily on  the effects of
development on women, including reinforcement of discrimination,  neglecting
to  some  extent their  role  as  an  underutilized  economic resource  that
affects   allocative  and  production  efficiency.    Although  considerable
progress has been achieved in access to  education and health services, less
has  been  accomplished  in  other areas,  and  improvements  in educational
attainments  and greater  access to  paid  employment  have not  always been
translated into greater economic autonomy and advancement.

12.    Two  issues  should  be  considered  of  growing  importance  in  the
formulation  of  gender-sensitive  economic policies:    women's  increasing
access to productive employment, especially in  growth sectors; and  women's
growing roles as entrepreneurs.


A.  Women in the labour market

13.   Women  play an  important economic  role in  societies throughout  the
world,  providing  a   substantial  contribution  to  national  income   and
development.    In  the   past  20  years,  new  patterns  in  the  economic
participation of women  have emerged. Their  participation rates  and labour
force  attachment have  been growing  steadily, and  some estimates  suggest
that  they  will  approximate  those  of  men  by  the  year  2000  in  most
industrialized economies and in some developing countries. 8/

 14.  In the  past 20 years women  have been entering the  labour market  in
increasing  numbers  and  their  average  share  in  the  labour  force  has
increased  significantly  in  all  regions  except  sub-Saharan  Africa  and
Central Asia. Economic activity rates for women are on the rise  everywhere,
while those for  men are declining.  Most  labour economists agree that  the
rise  in   female  labour-force  participation  rates   is  a  secular   and
international phenomenon.  While previously noted  trends showed that  women
were concentrated in a  limited number of sectors or in lower-paid and  less
stable  employment, those sectors  have shown  the greatest  dynamism in the
context of global restructuring, suggesting that many  assumptions about the
role of women in the labour market will have to be reconsidered.

15.  Demographic developments,  economic necessity and changes in employment
patterns and labour demand  have been the forces behind the great influx  of
women into  the formal job  market.  Today,  in developing countries,  women
account for  31  per  cent of  the labour  force (see  table  1).   National
reports  from industrialized  countries  indicate that  in  those  countries
women constitute approximately half of the  labour force.  The  increase has
been particularly dramatic in  the past 20 years:  in Portugal, for example,
the female labour force  grew from 21.3 to 43.7 per cent in the period 1970-
1990. 9/

Table 1.  Economic activity rates, by sex:  1970-1990

(Percentage)

     1970          1980           1990     WomenMenWomenMenWomenMenDeveloped

regionsEastern    Europe567956775874Western     Europe377842755172Developing
regions408146785475Africa         Northern88212792175Africa             Sub-
Saharan579054895383Latin    America     and    the    Caribbean        Latin
America228525823482   Caribbean388142774972Asia and  the Pacific     Eastern
Asia578658835680    Southern  Asia258824854478    Central   Asia557656775879
Western Asia228326813077Oceania478846864876
  Source:  The World's Women,  1995:  Trends and  Statistics (United Nations
publication, Sales No. E.95.XVII.2).
 16.   The new opportunities  embodied in rising rates  of economic activity
should  provide  women with  the resources  necessary  for greater  economic
autonomy and self-reliance.   However,  women's share in unemployment  often
exceeds  their share in  the labour  force in most  developing countries, in
economies in transition  (where they account  for the  greater share of  the
unemployed),  and  in   some  industrialized  countries  where   comparative
statistics are available (table  2). To some extent, the increased share  of
women  in  economic activity,  as  for example  in  Eastern Europe,  can  be
misleading as  an indicator  of growing  economic autonomy,  given the  fact
that  unemployment is  heavily skewed  towards young  female  school-leavers
entering the labour force.   In Poland, almost 60 per cent of all unemployed
school-leavers in 1990 were women.

            Table  2.    Female share  in  the  unemployed  and economically
active populations:  selected
                      countries or territories, 1975-1991/92

(Percentage)

          1975                      1985                     1991/92        
UnemployedEconomically                          activeUnemployedEconomically
activeUnemployedEconomically                                activeDeveloping
countriesBarbados57.143.359.447.264.548.3Brazil28.324.433.827.233
.235.2Chile35.224.830.828.031.231.0Costa
Rica38.319.730.121.636.029.8Ghana21.541.930.740.610.0..Jamaica67.
244.666.245.868.346.5Panama45.625.847.126.750.129.2Puerto
Rico25.528.326.129.429.637.6Republic of  Korea22.533.322.834.029.540.0Syrian
Arab       Republic9.213.225.516.037.518.0Thailand38.547.160.845.951.047.1Tr
i         n         i         d         a         d    a         n         d
Tobago37.527.836.329.745.533.8Venezuela22.123.325.026.734.730.9In
d     u     s     t     r     i     a     l     i     z     e     d
countriesAustria54.139.639.640.245.141.0Belgium54.132.255.933.861
.741.3Denmark31.940.055.644.249.446.5Finland34.845.046.646.638.64
7.0France56.637.753.839.654.143.8Germany42.037.244.137.752.238.5G
reece34.625.942.526.461.936.8Italy54.630.157.431.758.037.1Netherl
ands21.728.634.631.055.939.7Norway47.535.054.940.541.145.2Portuga
l44.830.956.924.161.142.3Switzerland23.335.345.936.742.944.2Turke
y11.436.516.434.026.931.4United        Kingdom18.737.131.238.726.243.3United
States44.039.145.641.542.845.1
  Source:   International  Labour Office,  Year  Book of  Labour Statistics,
1985 and 1990.
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17.   It  should  also  be noted  that  many economically  active women  are
underemployed.   In developing countries,  underemployment of female  labour
is characterized  by low and/or declining marginal productivity and seasonal
employment.    The  structural  underemployment  of  women  inherited   from
centrally  planned economic  systems has  been perpetuated  in  unemployment
among women  with higher and specialized  education and  lack of opportunity
to re-enter the  labour force at  a level corresponding  to their  education
and experience.    This has  been  further  exacerbated by  such  widespread
practices  as  mandatory  part-time  work,  extended  child-care  leave  and

administrative   leave   and   early-retirement   policies   instituted   by
enterprises undergoing downsizing and restructuring.

18.   The International Labour Organization (ILO)  defines the underemployed
as those  who would like additional  work, who work for  low wages or  whose
skills   are   underutilized.   10/      According   to   this   definition,
underemployment is currently a characteristic of  the female labour force in
the industrialized countries, where, in the  context of the deregulation  of
factor and  product markets  and in  response to  growing unemployment,  job
creation  has  been geared  towards part-time,  temporary  and casual  work.
Current data  indicate that, as the percentage of households headed by women
has steadily  increased, more  and more  women have  been seeking  full-time
paid work but have ended up in only part-time jobs 11/ (see table 3).


           Table 3.  Women's share in part-time employment:  selected
                     OECD economies, 1979-1992

(Percentage)

19791983199019911992Austria87.888.489.189.7..Belgium88.984.088.68
9.3..Canada72.171.371.070.570.0Denmark86.984.775.775.5..France82.
284.483.683.783.7Germany91.691.989.789.6..Italy61.464.867.265.467
.9Japan70.172.870.769.969.3United          Kingdom92.889.886.286.185.4United
States68.066.867.667.266.4
  Source:     Organisation   for  Economic   Cooperation   and  Development,
Employment Outlook, July 1993.
19.  The  steadily rising rates  of economic participation, however,  do not
reveal the full extent of women's  contribution to development because  they
do not  fully recognize work  done at home  and outside  the formal economy.
Nor  does  the  income  women  receive  provide  a  full  measure  of  their
contribution to the economy.   Some advances have  been made in the area  of
wage equity over the past 40 years, but  progress varies between regions and
age groups.  While  in some industrialized  economies the earnings of  young
women have  almost reached parity  with those  of men  of the same  age, 12/
women's earnings in most of the developing world  continue to fall short  of
men's.  13/   The  wage  differential  is  particularly  significant in  the
developing countries  and in  those industrializing  countries where  labour
standards  were  allowed  to  deteriorate  under  the  pressure  to  compete
successfully  in the  world market  for  manufactured  goods and  to attract
foreign investment (see table 4).  Women's  wages in manufacturing are lower
in most countries.  In Japan, for example, women  in manufacturing typically
earn only 40 per cent of the wage earned by men.

Table 4.   Women's wages  as a  percentage of men's wages,  by region, 1970-
1990

      Agriculture              Non-agriculture            Manufacturing     
197019801990197019801990197019801990Africa                                  
Mean70.0058.5169.2161.4681.7989.4363.5060.0073.25                           
Maximum75.0067.5283.6361.46114.00113.5063.5062.0097.00                      
Minimum65.0049.0055.0061.4664.3073.0063.5055.0049.00Latin  America  and  the
Caribbean               Mean77.0067.5587.58..74.5268.8682.0070.2574.75      
Maximum83.0078.1198.21..81.2475.9782.0081.0094.00                           
Minimum70.0052.1674.81..69.9764.6282.0051.0065.00Western  Europe  and  other
States               Mean81.7080.3185.1768.8477.1678.3566.0475.0074.64      
Maximum111.0098.0098.5586.9387.4390.8080.0090.0089.00                       
Minimum56.0063.1264.4557.5364.6965.1555.0061.0059.00Asia   and  the  Pacific
Mean74.0078.5779.3191.5169.7868.2260.0044.0041.00                           
Maximum90.0091.5592.2091.51101.5389.8084.0086.0097.00                       
Minimum48.0057.1560.7691.5144.4049.6160.0044.0041.00Eastern           Europe
Mean73.00..74.0069.1870.4075.3968.8069.6772.75                              
Maximum73.00..74.0069.1872.3982.0069.6073.0078.00                           
Minimum73.00..74.0069.1868.4171.0068.0068.0068.00
  Source:  Women's  Indicators and Statistics  Database (Wistat), version 3,
CD-ROM (United Nations publication, Sales No. E.95.XVII.6).

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20.    Empirical  research  has  shown  that  40  to  80  per  cent  of  the
differential in the average  hourly pay for men and women in many developing
and some  developed economies  can be  ascribed to  discrimination, so  that
productivity-related characteristics and  differences in  human capital  are
responsible   for   the   remaining   differential.      However,   earnings
discrimination is  perhaps a less important  aspect of labour-market  gender
discrimination.  More important is access  to and participation in  markets.
Studies  in  rural  development  in  Africa  have  demonstrated  that  women
sometimes  face   extreme  discrimination   in  access   to  non-farm   wage
employment, which is largely determined  by education, wage and  sex.  While
men  with  a  secondary  education  had  a  0.75  per  cent  probability  of
employment, women with the same education  and age characteristics had  only
half that  probability. 14/   Employment  prospects for  women with  primary
education  or less were  only a  fraction of those for  men, suggesting that
discrimination may apply differently at different levels of education. 15/

21.  The distribution  of the female labour force  continues to show  a high
concentration in a single sector while the male labour force is more  evenly
distributed.  16/  Other than in sub-Saharan Africa and Southern Asia, where
women are concentrated  in agriculture, services tend to provide most of the
jobs that go  to women.   The services sector has now  become "feminized" in
most  countries.   Women's employment  is  concentrated in  public services,
teaching, administrative and commercial  enterprises and domestic  services,
in  which women  often  account for  90 per  cent  of employees.    Industry
remains a  modest source of  employment for women, except  in Eastern Europe
and Southern and Eastern  Asia, where, in some  countries, women account for
the greater proportion of the labour force in export industries.

22.   There have  been trends  over the past  decade towards a  reduction in
occupational segregation  by sex  as women  in some  countries have  entered
higher-level professional jobs.  But at the same  time the share of  women's
employment  in "feminized"  occupations has  increased,  thereby reinforcing
gender differences by employment sector at the  bottom of the labour market.
17/  To  some extent, a marked shift towards services, which now account for
some 65  per cent of GDP  and for between 50 and 70 per  cent of all jobs in
the industrialized  countries,  has served  to  increase  the importance  of
women's  employment since  women  now account  for  55  to  80 per  cent  of
employment in  the services sector.   In the economies  in transition, where
gender  segregation in  the  labour market  is  more  marked  than in  other
industrialized   economies,   structural   changes   in  the   economy   and
privatization  have caused  a  redistribution of  female  employment  in the
services sector from  the sectors that have become more prestigious in terms
of  pay and  status, like  insurance and  banking,  to  the sectors  with an
already high concentration  of women  employees and  a low  return on  their
labour, like education, nursing and social care.

23.   In the  developing economies  the direction of  segregation of  female
labour  is similar to  that in  the industrialized economies,  and women are
underrepresented  in  the   higher-paid  professions  and   occupations  and
overrepresented  in low-pay  and low-status  occupations.   The  adjustment-
related labour shedding in the public sector in the past  decade has to some
extent  reinforced  this  segregation  pattern  as the  female  labour  made
redundant moved  into the already  overcrowded flexible-entry sectors,  such
as the  informal sector and services,  which did not happen  in the case  of
men.
  24.   Other trends  in female  employment in  developing countries include
the growth of female  industrial employment in the context of the growth  of
export-oriented  manufacturing and  a partial  reversal of  the  job-related

migration   pattern   of  the   1970s,  as   demand   restraint  and   trade
liberalization policies  drastically curtailed the  availability of jobs  in
urban areas  and reduced real incomes.   Despite  rising agricultural prices
and  agricultural wage rates,  women in  developing countries  have not been
able  to benefit fully  from these developments owing  to constraints on the
reallocation of their  labour and the persistence of limited access to land,
credit and extension services.

25.  Women the world  over are currently employed at a higher rate than  men
in sectors  which ignite economic growth  and promote  innovation and social
change. There  appears to be a  positive correlation  between the importance
of the sector  in terms of its share of GDP and the  concentration of female
labour.   The same is true  in terms of the growth potential of a sector and
women's representation in  its labour force, that is  to say that women  are
concentrated in the fastest-growing sectors of  the economy and the fastest-
growing  occupations.  Of the 20 occupations that will generate the greatest
number of  new jobs  by the  year 2005,  the  majority are  in services  and
belong to the heavily  feminized category. 18/   Trends in the  labour force
participation  of   women  together   with  patterns   of  global   economic
restructuring and transformation suggest that in  the future more women will
emerge as workers and entrepreneurs.  "What women  want from their jobs  has
meshed much better with  the needs of  the market-place than what men  want.
Their  prospective  success  should  make  everyone  more  optimistic  about
economic growth." 19/

26.   Taking account of this new  trend in the global economy  would seem to
be important in formulating employment policies to maximize growth.


B.  Entrepreneurship

27.   In recent years  there has been a reversal of an earlier trend towards
diminishing self-employment among women, and it  has been estimated that  by
the end of the  1980s the rate of growth of women's self-employment exceeded
that of their overall employment. 20/  Data from the Women's Indicators  and
Statistics Database  (Wistat) show  that the  ratio of  women  to men  among
employers  and own-account workers  has increased  in almost  all regions in
the past 20 years.

28.  As women have gained a major place for themselves in  the labour market
and  greater access  to productive  resources,  it has  become  increasingly
irrelevant  and  unrealistic  to continue  to  rely  on the  marginalization
approach as a premise  for the analysis of  women in development.  According
to  the 1994  World Survey  on the  Role of  Women in  Development,  women's
enterprises account for a significant  share - in some cases  as large as 40
per cent - of  the newly-created businesses. In  the United States, the rate
of growth  of businesses owned by  women was four  times the overall  growth
rate of  new businesses between  1982 and 1987 (see table 5).   There are at
least  6.5 million women  business owners in the  United States according to
the latest estimates by the National  Foundation for Women Business  Owners.
In  1992, businesses  owned  by  women  employed more  people  than all  the
Fortune 500 companies combined. 21/  Women entrepreneurs represent a

 rising force  that holds great  promise for development.   Their impact  is
based on  the role entrepreneurship plays  in long-term  economic growth, on
the  special  role  small-  and medium-sized  enterprises  and  the informal
sector  (where  women's  businesses  are  concentrated)  play  in   economic
development, and  on the major social  benefits associated  with the greater
economic  autonomy  and  access to  markets  and  decision-making  that  are
inevitably linked to women's access to and ability to command resources.


              Table 5.  Women-owned businesses as a percentage of all
                        United States firms and receipts, 1987

Women-owned

firms, 1987Percentage
change
1982-1987Women-owned
firm
receiptsAll                            industries30.4057.5013.94Agricultural
services13.44146.209.39Mining21.8233.3012.82Construction5.7163.00
8.74Manufacturing21.70109.4013.63Transportation,  communication  and  public
utilities13.46105.1014.32Wholesale               trade18.79157.0014.32Retail
trade35.6326.5015.68Finance,           insurance          and           real
estate35.6477.5014.42Services38.2176.6014.65Unclassified    industries26.58-
21.6012.43
  Source:  United  States Department  of Commerce,  1987 Economic  Censuses:
Women-Owned Business (Bureau of the Census, 1990).


29.    Comparative  studies   of  economic  development   suggest  that,  as
industrialization  progresses,  the  importance   for  economic  growth   of
entrepreneurship and  innovation increases relative to  that of capital  and
labour.    Entrepreneurial  activity  improves   allocative  efficiency  and
reduces X-inefficiency. 22/  It promotes international technology  transfer,
thereby facilitating  economic growth,  restructuring and  development.   In
fact, entrepreneurship  is regarded as a fourth factor of production that is
particularly  crucial for  long-term growth  and  development:   studies  of
long-term growth have shown that the  residual that is unexplained by change
in the stock  of capital and labour is  responsible for some  50 per cent of
variations in  economic growth. 23/   This "residual"  growth is fuelled  by
the  introduction  of   "new  combinations"  of  means  of  production   and
technological  progress,  both  of  which  can  be  directly  attributed  to
entrepreneurship.

30.    The  development  experience  of  the  past  decade  has  shown  that
development  strategies emphasizing import substitution and central planning
have  prompted   a  greater  interest   by  Governments  and   international
development  institutions   in   small-scale  economic   activities  and   a
participatory economic  development process.   Owing  to  the importance  of
women's  incomes to  both national  productivity and  individual and  family
welfare, as well as  the significance of the role  of the informal sector in
poverty reduction, Governments  and donor agencies are funding an increasing
number   of  programmes   in  developing   countries  targeted   at   female
microentrepreneurs.  24/  Such programmes aim at  reducing the vulnerability
of women working in  the informal sector by assuring them access to  credit,
better  working   conditions  and  appropriate   technology,  training   and
infrastructural support, as well as helping them with marketing. 25/

31.    In  the  economies  undergoing  structural  adjustment  and  economic
transition, entrepreneurship, with its growing female component, is  playing
a  key  role  in the  success  of  policy reforms  that  aim  at creating  a
foundation for long-term  sustainable growth.  While stabilization  policies
of demand restraint are designed  to put a floor under a downward spiral  in
key  economic indicators  and are  critical  for  the resumption  of growth,
long-term  sustained economic  development requires  an improvement  in  the
economy's productive  capacity  that  can  only be  accomplished  by  active
policies  on the  supply side.   Such  policies aim  at the  realignment  of
relative prices,  exchange rate  competitiveness and  the liberalization  of
trade  and  markets  but  are  not  necessarily  sufficient  to  ensure  the
appropriate supply-side  responses needed  for structural  change.   Rather,
they create  conditions for  the emergence  of productive  entrepreneurship,
which is the ultimate  force behind the introduction of new know-how and the
attainment  of  the greater  allocative  and  organizational  efficiency  of
markets.      In   developed  and   developing   economies,   the  loci   of
entrepreneurship tend  to reside  with the  activities of  small and  medium
enterprises in the formal sector;  in the case of the latter, mostly in  the
informal sector.

32.   In  developing countries,  formal-sector enterprises  represent only a
fraction  of  all  small-scale  enterprises.     The  bulk   of  small-scale

production  appears to take  place in informal-sector enterprises with fewer
than 10  workers. The  average size of  an enterprise in  Sierra Leone,  for
example, is 1.9  persons; in Bangladesh it is fewer than three persons.  The
importance  of  the  informal sector  is  overwhelming,  especially  in sub-
Saharan Africa,  where the great majority  of least-developed countries  are
to be found.   It has been  estimated that over 90 per  cent of new jobs  in
urban  areas in this region in the 1990s will be created in that sector.  An
assessment of informal microenterprises in Ecuador  has found that they play
a  key role  in generating  urban  employment  and that  the microenterprise
sector accounts for about  two thirds of the  labour employed in the private
sector. 26/

33.   Outside  the  agricultural sector,  women's  businesses  in developing
countries  tend to  be concentrated  in  the  small and  medium enterprises,
often in the informal  sector, that developed rapidly in those countries  in
the 1970s and  1980s as a result of  rapid urbanization and, to some extent,
the diversion of  resources from the formal economy caused by acute economic
distortions and  excessive government regulation.   By and large,  informal-
sector enterprises emerge  to fill  gaps in  demand for  goods and  services
that are  not effectively captured by  the modern formal  sector.  In  Latin
America  and  sub-Saharan  Africa,  women's  share  in  the  informal sector
exceeds that  in the total  labour force, and economically  active women are
more  likely than  men to  be  in this  sector. 27/    A number  of  sources
indicate that  women own  and/or operate  about  one third  of all  informal
businesses. 28/  As  small-scale entrepreneurs, women  operate businesses in
craft production, carpet  weaving, pottery making,  food processing  and the
brewing of  beer and in  trade and street  vending.   Data suggest, however,
that women are  found in the informal sector more often than  men because of
lack of opportunity or other obstacles to wage employment.

34.  The  expansion of small and medium  enterprises in the past decade  can
be traced to the restructuring of the global economy, globalization and  the
flexibilization  of   production  and,  consequently,   to  the  growth   of
industrial outwork, subcontracting  and home-based production.  While  their
role as  business owners  in the  formal sector  in developing  countries is
often negligible, women account for 43 per cent  of small-business owners in
Egypt,  49 per cent in Jamaica,  37 per cent in Thailand, and 61 per cent in
Honduras.  In  Zambia, 60 per cent of  rural non-farm enterprises are  owned
by  women and, in Zimbabwe, 62 per cent of rural non-farm enterprises and 77
per cent of urban non-farm  enterprises have female proprietorship. 29/  But
the growth  in self-employment among women  in developing  countries and the
economies in transition is largely a  "supply driven" phenomenon, rooted  to
a greater extent in the need for survival  and in economic necessity than in
attractive market  opportunities.  Women's  remuneration also remains  lower
than that of  men:   "data gathered  on Latin America  and Africa show  that
women's  informal  businesses have  lower revenues,  lower asset  bases, and
smaller profit  margins than men's; in  Peru, for  example, women's business
assets are just one half those of men". 30/

35.  From  the perspective of the characteristics of the sector, women-owned
small business  is a  vital component  of successful economic  restructuring
and adjustment.    It is  an  important  source  of efficiency,  growth  and
economic  and  political  decentralization, which  contributes  to  economic
welfare and  development.   It  is also  a  powerful  tool of  low-cost  job
creation,   and  this   is   particularly  important   during   periods   of
stabilization and structural  adjustment and  as a component of  development
strategy in economies with a relatively  high labour endowment.  In addition
to employment  generation, small and  medium enterprises  create a  positive
economy-wide externality by providing  on-the-job training for  semi-skilled
workers,  many of whom are  women.  Increasing concern for the environmental
sustainability  of  development  again  points  to  small  enterprises as  a
hopeful  solution,  since their  scale  of  operation  and  labour-intensive
technologies put less strain on the environment.

36.   The literature on  entrepreneurship distinguishes between  productive,
unproductive and  destructive entrepreneurship  and between  entrepreneurial

activities  and rent-seeking activities,  which are of questionable value to
society as a  whole.  Research  shows that the  welfare of  society is  much
more likely  to be affected by  the direction  of entrepreneurial activities
than by the number of persons who carry them out.  In that sense, it can  be
argued that the  marginal social product associated with women-owned  and/or
operated  businesses  exceeds  the marginal  private product,  owing  to the
externalities resulting  from the  economic empowerment  of women  and to  a
tendency   towards  productive   activities  rather   than  rent-seeking  or
arbitrage because of  greater fiscal constraints facing women  entrepreneurs
and  because they  are  poorly placed  in  society to  lobby  for  political
patronage.

37.     Women,  particularly  in  developing  economies   and  economies  in
transition,  are often driven  to self-employment  as a  result of worsening
economic  conditions.   It is  sometimes  argued  that their  businesses are
better  characterized as  income-generating rather  than entrepreneurial  in
the classical, Schumpeterian  sense of the concept.   On this count, several
observations are in  order.  Innovative entrepreneurship requires a  complex
infrastructure   and  developed  markets  that  are  unlikely  to  exist  in
developing  countries  or in  most  of the  economies  in  transition.   The
concept of innovative entrepreneurship is  therefore too narrow  a criterion
for dividing  women's individual economic  activity into an  entrepreneurial
category and a  merely income-generating category.  Women's  entrepreneurial
businesses  in  developing  economies   fulfil  an  important  market-making
function, often operating where  markets do not exist  or are segmented  and
do  not operate perfectly.   Their  entrepreneurial skills  therefore affect
the effectiveness of markets and enhance allocative efficiency.

38.  Between the very  broad and very narrow definitions of entrepreneurship
there remains a large area that includes not  only innovativeness in the use
and combination of existing  resources but also  management, leadership  and
marketing.  From  the managerial  perspective, women-managed  businesses are
inherently  entrepreneurial,   because  women's   managerial  style  differs
qualitatively from that of men and  the practices followed in  women-managed
enterprises are beginning to change how  business institutions are run.  31/
They  also challenge  the social  attitudes  and expectations  about  gender
behaviour that  determine the parameters of  the participation  of women and
men  in economic and political decision-making.  The resulting change in the
gender  system - the  way our culture determines what  is "male" and what is
"female" - contributes to both the  greater economic efficiency and  greater
equity of the development process.

39.  Studies have shown that  entrepreneurial activities help women  towards
social  and economic empowerment.   As  women's incomes  rise, their control
over  productive resources,  including their  own labour,  increases.   They
acquire a greater voice in decision-making  at all levels, starting with the
household and  extending  to the  economic  and  political domains.    Other
benefits include a lower incidence of  malnutrition and disease among  their
families and more education  for their children,  as well as a reduction  in
violence directed towards women.

40.    In  industrialized  market  economies  a  desire  to  secure economic
autonomy and to  escape from male  domination are most  frequently cited  by
women   as   reasons   for   starting   their   own   businesses.      Women
microentrepreneurs  in  developing  economies   chose  own-account  economic
activity  because  of   the  lower   barriers  to  entry  into   small-scale
entrepreneurship and constraints on their access  to the labour market.   In
both  developed and developing countries, poor access to  credit is the most
frequently mentioned obstacle to the launching and expansion of  women-owned
businesses.   Although formal  capital markets  are legally  open to  women,
financial resources  are largely unavailable to  them owing  to many factors
inherent  in tradition  and society.    Factors  limiting women's  access to
formal  credit  markets  are  related  to  institutional  requirements,   to
cultural and social norms  and to the type of productive activities in which
women's businesses predominate.

41.  Credit is  either unavailable or very  limited for small entrepreneurs,
and for  women in  particular, because  they usually  do not  own marketable
land rights  and  hence  have no  collateral.   From the  point  of view  of
commercial credit  institutions in  developing countries,  lending to  small
enterprises is  not a  very attractive  option for  diversifying their  loan
portfolios, and there  are sound reasons for this.  In developing countries,
where inflation  rates are high, credit  rationing and  fixed interest rates
favour large loans  because of  lower administrative  costs.   As a  result,
formal  credit  institutions  prefer  to  work  with  large  and  less risky
customers.     Women   microentrepreneurs  often   lack  real   assets   and
creditworthiness  and are  unfamiliar  with the  accounting  practices  that
commercial banks require.   In Kenya, for example,  banks still require land
certificates to be  presented with applications  for credit.  32/  Also,  in
some countries, financial  institutions permit only one loan per  household.
As a  result, women's participation in formal small-scale enterprise lending
programmes rarely exceeds 20 per cent and can be as low as 16 per cent. 33/

42.   Evidence from banks  that have been  lending to  the poor and  to low-
income women  entrepreneurs shows that the  higher unit  cost of small-scale
lending may not  inhibit commercial lending to microenterprises if financial
infrastructure is sufficiently developed and  diversified.  Thus,  there may
be a  case, based  on the long-term  social opportunity costs,  for applying
the infant-industry argument  to subsidies to innovative credit schemes  for
women  entrepreneurs,  the  infant industry  in  this  case being  financial
services.   Lately,  however, it  has  been  argued that  highly  subsidized
interest rates  on loans  given to the  poor are  dysfunctional, and  credit
programmes  are  increasingly  being  designed  to  be  self-sustaining   in
accordance  with the revolving  fund concept, whereby deposits are mobilized
and funds  are made  available  on  a continuing  basis to  participants  at
market rates of interest. 34/   Despite the 95 to 97 per cent recovery  rate
on  loans to  women  entrepreneurs (see  table 6),  their  access  to credit
remains limited and appears to be in decline in some countries. 35/

43.     The   evidence  frequently   used   in   the  literature   on  women
microentrepreneurs to demonstrate the financial constraints faced by  women-
owned businesses is often interpreted too  easily as a loan-supply  problem,
overlooking  the  possibility that  the observed  lack  of participation  by
women in  formal credit markets  might be  caused by  a lack  of demand  for
credit or possibly  access to informal  sources of credit, even  though most
women  microentrepreneurs  report a  need  for  credit.  36/   Studies  have
revealed  that for  the majority  of  women  in developing  countries formal
credit institutions may not be a  satisfactory source of financial resources
owing to  the high  opportunity cost  of applying  for credit  and the  high
transaction costs they  face in the credit market.   Other factors that  act
as a constraint on  the demand for credit  by low-income women entrepreneurs
include   the  remote   location  of  financial   institutions,  complicated
procedures for loan  application and  poor understanding of financial  rules
and regulations.

Table 6.  Business credit to women, 1993

Institutions by typeWomen clients
(Percentage of total)Repayment rate
(Percentage)Commercial bank programmesIndonesia Bank Rakyat (BRI)/
KUPEDES Programme2398Bank Pembanguran Daerah (BPD)/
Baden Kredit Kecamatan Programme,
Indonesia6080Poverty-lending    banksGrameen    Bank,     Bangladesh9487Self
Employment Women's  Association  (SEWA)  Cooperative  Bank,  India10097Banco
Solidario  (BancoSol),  Bolivia (commercial  bank)798National boardsNational
Board  for  Small  Scale  Industries,  Ghana:     Credit  Scheme  for  Small
Enterprises4372Enhancing    Opportunities    for   Women    in   Development
(ENOWID)10095Non-governmental  organizationsAsociacion  Dominicana  para  el
Desarrollo  de  la   Mujer  (ADOPEM),  Dominican  Republic10095Kenya   Rural
Enterprise  Programme  (KREP)6395Credit Union  Association, Ghana30..       
Affiliate    network     institutionsFINCA    International,     Washington,
D.C.9697ACCION International,  Washington, D.C.5495Friends  of Women's World

Banking/India10095Women's  World Banking Ghana Limited           ..88Women's
World Banking New York9796
  Source:  The World's Women, 1995; national report of Ghana, 1994.

44.  It has recently  been emphasized that current models of the demand  for
credit  by  women  entrepreneurs  do  not   reflect  the  risk  involved  in
indebtedness. 37/  It has also been noted that high  interest rates put most
women off,  and that, in  their view, their small business  is not enough to
push  them into  such  debt to  risk  the  security  of their  children  and
families. 38/ Low-income women farmers in  sub-Saharan Africa, many of  whom
are just  emerging from  a subsistence  life-style, have  been reluctant  to
take advantage of the  increased availability of  credit to them because  of
their low  cash incomes and a general aversion to risk.  In this respect, it
has  been argued that greater availability of credit  to rural women farmers
should not  be viewed  as a  perfect substitute  for subsidizing  production
inputs when  designing programmes  directed at  raising the  productivity of
rural women. 39/

45.   The  study of  Ecuadorian  microenterprises  already referred  to  has
shown,  however, that women entrepreneurs  are as likely to  apply for loans
as their male counterparts:   in the statistical  sample used by  the study,
women represented  a higher proportion  of those  entrepreneurs who  applied
for  loans. 40/   The  study showed  that women  borrowers were  subject  to
rationing of loan size; that is, they were  granted loans in amounts smaller
than requested.  Discrimination against women  entrepreneurs in terms of the
size  of the loan rather than  the number of loans granted suggests that, to
be successful  in borrowing,  female entrepreneurs need  to establish  their
creditworthiness  in order  to provide  the information, which,  if lacking,
allows lenders to resort to non-price mechanisms of loan-rationing.

46.    Given the  problem  of inadequate  information  that  is  inherent in
credit-allocation decision-making, redirecting  public credit to women as  a
target group  is only a  partial solution to  their poor  access to loanable
funds. To make financial  assets more accessible  to women, it is  important
to encourage  and facilitate their greater  reliance on  the savings market.
Greater  access  by  women  to  the   savings  market  contributes  to   the
development  of  female entrepreneurship  on several  fronts.   Savings  can
finance  long-term   investment  in   sectors   where  women's   enterprises
predominate,  thereby rectifying  a  current misallocation  of  capital  and
increasing  the aggregate savings  rate.   Also, the  accumulation of assets
facilitates  access to  formal credit  and improves  creditworthiness.   For
reasons already mentioned,  the credit market is intrinsically  male-biased,
whereas  women's predominance in  the informal  savings market suggests that
the savings  market is likely to  be gender-neutral.  41/ Greater efficiency
will, however,  be  required of  financial  systems  in dealing  with  small
transactions   and  assisting  women  entrepreneurs  in  building  long-term
working relations with financial institutions.

47.  The  overwhelming emphasis in the past  on the credit side rather  than
on the  savings side of the  market in the  context of programmes  targeting
women  entrepreneurs  has  left  savings  institutions  underdeveloped   and
inaccessible to women.  National reports indicate  that the rate and pattern
of savings differ significantly between women  and men.  A survey in a rural
district of Namibia 42/ found that only 45 per cent of  households headed by
women had savings  as compared to  73 per cent of households  headed by men.
Women saved  annually  only 23  per cent  of  the  amount saved  by men  and
usually  kept  their  savings  at  home.    The  design  of savings  schemes
attractive to  women should therefore  be a priority  in the  formulation of
programmes directed at facilitating women's access to financial resources.

48.    Other  obstacles  to the  development  of businesses  owned  by women
include an adverse economic and regulatory environment, inadequate  physical
infrastructure and marketing, poor access to new  technology, and a lack  of
vocational  and managerial training.   Rigid  social and  cultural norms and
lack of sharing  of domestic responsibilities  exacerbate the problems women
face when operating businesses.


IV.  GENDER IN MODELS OF DEVELOPMENT ECONOMICS

49.   A broad  consensus has  emerged in  the  field of  development on  the
importance  of greater attention to the situation of women if elimination of
absolute  poverty  is  to  be  achieved and  economic  growth  is to  become
sustainable. Research has shown that investing  in women promotes growth and
efficiency,   reduces  poverty,   helps  future   generations  and  promotes
development.   The analysis in the  preceding section  of two gender-related
aspects of economic growth demonstrates the  need to consider gender factors
in policy-making.   Yet discussions  of gender have continued  to be removed
from mainstream economic and development policy-making  in terms of both the
focus and place  of analysis. Reports  on women  in development continue  to
focus  on the welfare impact of development policies  on women, while little
or no attention  is paid to the effects of gender relations  on the outcomes
of   economic  policies.   Women-in-development   and,   lately,  gender-in-
development  issues remain sidelined  in special  reports or  special policy
initiatives, rather than being given systematic consideration when  policies
and programmes for structural change are  being formulated.  The  contention
of the  present report is that, without explicit consideration  of gender in
policy formulation, certain  significant costs of economic inefficiency  and
resource misallocation are likely  to persist, with  a consequent  reduction
in growth and in social equity.

50.   There is  a reciprocal  relationship between  gender and  development:
development strategies and the economic policies  pursued in the context  of
those strategies  have a gender-specific impact;  and gender differences  in
access  to productive  resources, factor  markets, income and  allocation of
income  have an  impact on  the  efficiency  and sustainability  of economic
policy outcomes.   While the  impact of development  policies on  women is a
well-documented and  widely addressed issue in  the literature  on women and
development,  the significance  of  gender for  economic  policy-making  has
received, as  yet, far  less attention.  Economic analysis  that is  gender-
aware  has the potential  to promote  a better  understanding of development
and  to  facilitate  the  formulation  of  the  policies  required  for  its
sustainability.


A.  Gender in neoclassical development economics

51.    In the  early  literature  on  women in  development  it  was  argued
extensively  that   women  become   marginalized  as,   in  the  course   of
development,    their   household-based    subsistence   activities   become
increasingly  subsumed  into  wider,  market-based  activities.     Economic
marginalization sets  in motion  what  can be  termed a  "vicious circle  of
inequality", as a lack of participation  in development leads to  an unequal
share of  the  benefits of  development and  that  in  turn reduces  women's
competitiveness  in the job  market.   This approach  suggests that economic
development is "bad" for women because  it sharpens gender inequalities  and
worsens the burden  on women of  unpaid and unrecognized work.  The standard
prescription  has been to  increase investment  in women's  human capital to
reduce the discrimination women face in the labour market.

52.  In the  field of development economics,  gender is not  integrated into
macroeconomic development modelling and its treatment  is often limited to a
few passing references to the impact of development on women.  According  to
Nobel laureate  W.  Arthur Lewis,  the  author  of a  well-known  structural
change model, women benefit  from growth even  more than men:  "woman  gains
freedom from drudgery, is emancipated from  the seclusion of the  household,
and gains at last the chance to be  a full human being, exercising  her mind
and her talents  in the  same way  as men".  43/   Structural change  models
completely omit gender from the  analysis of the reallocation of labour from
the subsistence sector with zero or declining  marginal product of labour to
the  high-productivity modern industrial  sector.  These models treat labour
supply  as infinite  and the  reallocation  of  labour surplus  as occurring
smoothly, unhindered by the sexual division  of labour and social practices.

In  real  life, however,  productivity, wage  differentials  and changes  in
relative prices  do  not always  provide  a  sufficient inducement  for  the
intersectoral transfer of at least 50 per cent of the labour force.


                 B.  Gender and the structuralist perspective in
                     development economics

53.   Although structuralists disagree with  neoclassical economists on  the
extent to which changes in relative  prices can precipitate supply  response
in developing economies, they do not  include gender among the "bottlenecks"
that have  a  potential  to  inhibit such  a  response.   The  structuralist
approach   to   stabilization  policies   points,   inter   alia,   to   the
redistribution of income from labour to  capital as the hidden equilibrating
factor between supply and demand, but no attention is paid to  the fact that
labour is gendered and that income  distribution occurs along gender  lines,
often leaving  women worse off relative  to men, as  suggested by the  ample
research on  the allocation  of household income  and household  expenditure
patterns.  The  equilibrating factor,  in this  case, lies  in the  implicit
assumption of the infinite elasticity of female labour and  income to absorb
the shocks  of stabilization and compensate  for any  shortfall in household
income. 44/

54.  Another point of structuralist  criticism of neoclassical economics  is
the assumption of the infinite elasticity of the  supply of agricultural and
primary  product  exports in  response  to  devaluation-induced  changes  in
relative prices.  Although sceptical of  this assumption, the  structuralist
approach  does   not  consider  the  sexual   division  of   labour  in  the
agricultural sector  as a  factor limiting  supply response.   However,  the
literature  on  structural adjustment  and  rural  women  provides  abundant
examples of  how women's unwillingness  and/or inability  to sacrifice  time
and land to the production  of cash crops at the expense of traditional food
crops  limits  the  response  of  supply   to  changes  in  price   signals.
Furthermore,  it has also  been suggested  that the  low substitutability of
male labour  for female  labour reduces  the  ability of  men to  reallocate
their labour  in accordance with changes  in market  opportunities. 45/ This
has  important effects  on the  welfare of  the household  and the  economic
outcomes  of  adjustment.   Hence, the  failure  to account  for the  gender
aspects of resource  reallocation in response  to price signals may  cause a
sub-optimal  policy outcome  and  worsen gender  inequality,  which  in turn
poses a threat to the sustainability of economic reforms.


C.  Gender and outward-oriented development

55.    It is  generally  agreed  among  mainstream  economists that  outward
orientation in  economic  development  has been  the single  most  important
factor  responsible  for rapid  economic  development  and the  reduction of
inequality in the first and second  generations of the newly  industrialized
economies  and  the  other  developing  economies  that  have  opened  their
economies to  trade in the  past decade.   Policies of  trade liberalization
bring  domestic  resource  allocation  closer  to  international opportunity
costs and shape their production structures  in accordance with  comparative
advantage.  Outward  orientation in development policy renders  interference
by Governments with trade  and the economy obsolete and replaces it with the
policies of  better  governance that  have  been  identified as  those  most
conducive to growth,  economic stability  and poverty  reduction. Looked  at
from  a gender perspective, the long list of  virtues of outward orientation
can be  expanded by  the  addition of  the positive  impact  it  has had  on
women's  economic participation.    Trade expansion  has  clearly  benefited
women's access to paid employment in  many developing countries, albeit with
some  qualifications.  But in  the context of  ongoing globalization and the
introduction  of new  technologies  and the  ever-changing  organization  of
production, the  employment benefits  accruing to  women thus  far from  the
liberalization of  trade may be  short-lived unless technological  upgrading
is  matched  by  an upgrading  of  skills and  better  education for  female

workers.

56.   Even a casual examination of employment  trends, economic growth rates
and the  expansion of  exports as  a share  of GDP  suggests a  relationship
between  these three  factors.  Empirical  analyses confirm that  there is a
strong  causal relationship  between  the expansion  of  female  employment,
particularly in labour-intensive  light manufacturing, and patterns and  the
rates  of  export  growth.    Those  developing  countries  that  export  an
increasing  proportion of their  manufacturing output  to the  North tend to
show a  rise in  the share  of female  labour in the  manufacturing sectors:
the results  of regression analyses  undertaken for the study  of the impact
of the trade regime  adopted by 15 Asian  countries show that a  1 per  cent
increase in  exports as  a share of  GNP is associated  with a 0.2  per cent
increase in  female non-agricultural employment. 46/   The  exports of those
developing  countries that  rely on  export-promotion development strategies
are best  described as female-labour intensive,  and the  economic growth of
those countries has been as much female led as export led.

57.    Outward  orientation  in  development  has  enabled  many  developing
countries to make  better use of their resources  as they have opened  their
economies  to  international   competition  and  brought  their   production
structures into  line with comparative advantage.   The  female labour force
has been  an underutilized and undervalued  resource that  could be employed
at  a lower  cost than  male  labour.  Gender-based wage  differentials have
reinforced  the  viability  of  labour-intensive  manufacturing  exports  to
economies where  labour costs are higher,  thus enabling  the economies that
pursue  export promotion to  grow faster.  The questions  whether women have
been able to benefit  from the expansion of  trade, other than  in terms  of
greater access to  paid employment and whether the  benefits are of a  long-
term nature have been widely debated in  the literature, and the conclusions
reached have not been entirely optimistic.

58.   One argument frequently  made in the  context of  this debate  is that
opportunities  to  earn  independent  incomes  tend  to  strengthen  women's
decision-making power in the household and  that this positively affects the
treatment of  girl-children  in the  household and  helps  to  break up  the
intragenerational  perpetuation  of the  feminization  of  poverty.    Thus,
export  production  serves   women's  interests   to  the  extent  that   it
contributes to  an increase in the  supply of  employment opportunities open
to women.  From the perspective  of promoting egalitarian gender  relations,
trade-related  gains in employment  have not led  to any  improvement in the
quality  of female jobs.   Most remain poorly paid,  and gender-related wage
differentials have persisted. 47/ In terms  of the occupational and sectoral
distribution of  female employment, there has been a notable increase in the
employment of  women in  trade-related services, where  their prospects  for
higher remuneration are better.

59.   With  regard to  the future  of female  employment in  export-oriented
industries  in the economies  where development in the  past two decades has
been  driven by  export  expansion,  the need  for  technological  upgrading
translates  into the need  for skills  acquisition and  better education and
training for female workers.  Failing this,  the benefits thus far  accruing
to women  from  export-led  development  will  simply  vanish  with  growth.
Recent evidence suggests that the share  of female labour in export-oriented
industries   is  declining  as  skill  requirements  shift  with  shifts  in
comparative advantage.   This,  together with  evidence of  poor access  for
women  to retraining, indicates  that the  gains to  women's employment from
the expansion of export-oriented industries may have been short-lived.

60.   Despite the  prediction that  expanding international  trade, based on
comparative advantage,  must inevitably  result in  winners and  losers, the
anticipated negative  effects of  competition from  developing countries  on
female employment in the industrialized countries have not materialized,  as
least  as  far as  aggregate  employment is  concerned.    The  expansion of
international trade seems, on the contrary,  to have created better business
opportunities  for women  entrepreneurs in  developed economies.    Business

surveys in the United States, for  example, show that women-owned businesses
have  a  somewhat  higher  propensity  to   export  and  import  than  other
businesses.   A 1992  survey found  that the  proportion of  exporters among
women-owned  small businesses  was  higher than  among  small  businesses in
general.  The most  recent Census Department figures show that 7.5 per  cent
of  surveyed  women-owned  businesses report  some  share  of revenues  from
exports,  compared to 6.1  per cent  of male-owned businesses.   Some 22 per
cent of members  of the National Association  of Women Business  Owners said
that they were considering becoming involved in international trade. 48/

 61.   Analysis  of women-owned  businesses involved  in international trade
shows  that  women  may  have  an  affinity  for exporting  owing  to  their
different  management style  and  greater attention  to  building  long-term
business relationships.  A more pragmatic  explanation would be that women's
businesses  are  often  founded during  downturn  periods  of slow  domestic
growth,  a situation that prompts  business owners to look abroad for better
business opportunities. 49/


V.  GENDER IN ECONOMIC POLICY:  SOME EXAMPLES

62.   Micro-economic theory, dominated by  the marginalist  paradigm and the
equilibrium  perspective,  makes only  passing  reference  to  the  economic
topics of special importance  to women.  Even  less attention is  devoted to
such issues  at the macro level;  gender-specific differences  when shown in
macroeconomic data receive  no macroeconomic explanation.   The  models used
in discussing the economics of the  household and gender-related issues  are
based on assumptions that often harbour male biases.  An example  of this is
the basic premise of the  neoclassical approach, the idea  of the individual
as  characterized  by the  well-defined  preference  function, which  is not
compatible  with gender  differentiation of  economic agents  because  women
often lack control  over productive assets and autonomy in  decision-making.
50/  Policy  advice formulated on the  basis of these  models is  couched in
gender-neutral terms but often  leads to gender-specific results that escape
the attention of economic policy makers  for lack of the  methodological and
statistical  tools for addressing  them.   The result  is that,  at present,
gender issues  in  economic theory  and  policy-making  are "hidden  by  the
invisible hand". 51/

63.   Gender inequalities in  access to  and participation in  markets cause
markets  to fail  to allocate  resources  efficiently.   Factor  markets are
particularly important, since  their inefficiency can inhibit growth  and/or
worsen  income distribution.   Gender discrimination  in these markets leads
to a  sub-optimal  allocation of  resources  that  entails long-term  social
opportunity costs,  thus providing  a rationale  for subsidizing  innovative
credit  schemes,  designed to  provide credit  to  low-income producers  and
entrepreneurs.   The  relative immobility  of  the  female labour  force  in
response to market  signals obstructs  allocative efficiency  in the  labour
market,  and there  are social opportunity  costs in the  loss of efficiency
and misallocation  of resources resulting from  female labour being  "locked
up"   in  non-market  work.     On  the  other   hand,  there  are  positive
externalities to female non-market  work that can be  viewed in terms of the
production of a  public good and that therefore  present a case for  public-
policy intervention.

64.  Mainstream economists  paid little attention to the household until the
last 20  years or  so.   Thus  far,  household  behaviour has  usually  been
modelled in economic theory on the  behaviour of individual economic agents:
in macroeconomic analysis the household is  considered in terms of providing
factor   inputs,  savings  and   consumption,  and  micro-economic  analysis
considers  primarily  its  consumption  role.    Such  constructs of  micro-
economic  theory  as  "comparative  advantage", "utility  maximization"  and
"preference functions" are applied to the household in  the same way as they
are applied to the  individual economic agent. The household is treated as a
unit that maximizes the joint utility function of its members.  Despite  the
analytical  shortcomings of  the aggregation  of individual  family  members

into  a joint utility  function, the  micro-economic model  of the household
claims  that it  behaves as  if it  were a  single entity  maximizing  joint
utility  and welfare.   Gender  neutrality is  in  this  case assumed  to be
inconsequential and benevolent.

65.    The  conceptual  framework  underlying  economic  analysis  and  much
development policy-making relies on  the representation of  the household as
an altruistic  collectivity where  all available  resources  are pooled  and
distributed efficiently among  its members, taking equally into account  the
welfare of each member.   Despite the fact that this model does not  justify
the treatment  of the household  as a unity  (see box)  and, as a  remedy to
that, simply  assumes that  altruism  prevails in  the family,  it has  been
widely  used  to analyse  and  shape  a  range of  development  policies and
projects.

66.  If equality  of outcome entails equality  of access to resources, there
are strong gender arguments for directing  transfers to women as individuals
in order  to avoid leakages  at the household  level.  It  has been  rightly
argued  that education,  health care,  credit  and  food are  not "household
public  goods"; 52/ they are  individual goods that are  rival and exclusive
in  consumption.  Research  shows that  failure to  account for gender-based
asymmetries   in  the   intrahousehold   allocation  of   resources  weakens
development projects.  Policies directed at  raising the productivity of the
agricultural  sector  or developing  entrepreneurship  do  not  achieve  the
desired results unless they  take into account the fact that within a single
household separate  economic accounting units exist  and the  pattern of the
exchange  of labour and  distribution of  resources among  them reflects the
differences in the  bargaining power of  its members, which in  turn depends
on  their  entitlement.    Women,  however,  are  usually  considered  to be
entitled  to less and, as  a result, their  bargaining power  is weaker.  In
this  respect,  the  cooperative  conflict  model   is  a  better  tool  for
development  policy-making,   because  it  provides   a  rationale  for   an
intrahousehold  approach to  policy formulation.   Currently,  however,  the
cooperative conflict model, although  widely discussed in  the literature on
human  development  and  the  structuralist  perspective  on   macroeconomic
policy-making, remains  more of a dissent  against the neoclassical  unitary
approach than an active tool of development planning.
THE HOUSEHOLD MODELS IN ECONOMIC THEORY

1.  New household economics:  the joint welfare maximization model

     The  model  extends   the  micro-economic  framework  of   maximization
behaviour  to the analysis of  the household.   To deal  with the problem of
the  aggregation of individual  preferences into  a joint  welfare function,
the model deploys an assumption that "since blood  is thicker than water ...
preferences of  different members [of the  household] are  interrelated by a
'social  welfare function'  which  takes into  account the  deservingness or
ethical worth of the consumption levels of  each of the members.  The family
acts as if it were  maximizing their joint welfare function". a/  The  model
also assumes  maximizing behaviour,  stable preferences  and equilibrium  in
implicit  or  explicit markets  to  provide  a  systematic  analysis of  the
household.   The problems  which might  cause maximization  failure, such as
utility  comparisons  and  joint  utility  maximization,  are  addressed  by
assuming implicit  markets and altruistic behaviour  of the household  head.
b/


      2.  New institutional economics:  implicit contracts and household
          bargaining model - cooperative conflict model c/

     The new  institutional economics  focuses  on the  evolution of  social
institutions that  create  the context  in  which  individual decisions  are
made. It views  the household  as an  institutional mode  of production  and
exchange. The household is seen as an institutional response  to basic needs
based  on  long-term  constructs  between individuals  related  by  birth or
marriage. Decision-making within the  household reflects contractual  rights

and  obligations, as  well as economic incentives.   Institutional economics
rejects  the assumption  of  altruism, postulating  differences in  terms of
domestic trade  that are the  function of the  relative bargaining  power of
participants.   Deploying  the   bargaining  format  of   the  institutional
economics, the  cooperative conflict  model addresses issues  of gender  and
power  within  the  household.    This model  assumes  that  members of  the
household  cooperate  as long  as  the  outcomes  of  their cooperation  are
preferable  to those without  cooperation.   In this  assumption, it departs
from utility maximization by positing that  individuals in the household  do
not bargain solely on the grounds  of their self-interest, i.e.,  "utility".
Instead,  their bargaining  strategies depend  on perceived  notions of what
they are  entitled to. Entitlement  depends on  perceived contributions, and
because  women's contribution  is largely  "invisible", no  matter  how much
time or energy they expect, they are considered to be entitled to less.
________________________

     a/   P. Samuelson, "Social  indifference curves", Quarterly Journal  of
Economics, vol. LXX, No. 1 (1956), p. 10.

     b/    G. Becker, A  Treatise on the  Family (Cambridge, Mass.,  Harvard
University Press, 1991).

     c/   A. K. Sen, "Gender and cooperative conflicts", in I. Tinker,  ed.,
Persistent Inequalities  (Oxford, Oxford University  Press, 1990), pp.  123-
149.67.   Economic growth,  inflation and  monetary and  fiscal policies may
each  have a  differential  impact  on women.    Yet in  its  discussion  of
aggregates, macroeconomics  entirely omits gender  issues.  This  inadequacy
of macroeconomics stems  from the neglect  of one whole area  of production;
the unpaid production  of human resources.  The work carried out by women in
reproduction  and  the  maintenance  of  human  resources  is  excluded from
national accounts, and the  link between the paid  and the unpaid economy is
therefore  lost.     This  has  important  practical  consequences.     When
macroeconomic  policies  are   formulated,  the  gender  dimension  of   the
consequences  of  changes in  market  signals  and  of  the reallocation  of
resources is  lost.  Implicit in  this approach is  that women's ability  to
compensate at the household level for the decline  in output and for changes
in the composition  and level of aggregate  demand is treated as  infinitely
elastic, obscuring the impact of macroeconomic  policy on the human resource
base  of  economic activity.   This  in turn  is likely  to have  a negative
impact on  international economic competitiveness,  balance of payments  and
economic  growth,  as the  shortfall  in  human  skills  resulting from  the
adverse  impact  of   macroeconomic  policy  remains  unaccounted  for   and
unplanned for  in terms  of appropriate  supportive measures  and resources,
thus rendering the policy unsustainable.

68.    Repressed  financial  markets and  credit  rationing  favour  capital
intensity and may  perpetuate discrimination.  Small enterprises,  including
the bulk  of businesses owned  by women,  are forced  to seek credit  in the
informal  market where they are  obliged to pay interest rates several times
higher than in  the formal financial sector.   To the extent that  financial
repression discourages the  development of small-scale production, it  hurts
the  economic  participation  of   women.    Regulated  credit  hurts  women
indirectly  by interfering with  the efficient  allocation of  resources and
inhibiting economic growth.

69.  Policies of trade liberalization  and external openness, together  with
supporting  macroeconomic  policies  involving exchange-rate  management and
the  maintenance of  international competitiveness,  have been  shown  to be
beneficial  for women  in terms  of  improving  their economic  position and
their bargaining power in the family.  The  loss of competitiveness and real
exchange-rate appreciation, on  the other  hand, tend to  affect women to  a
greater extent  than men because employers  still feel  free to discriminate
against them.

70.   The link between taxation  policies and  employment, structural change
and  economic  growth  can be  better understood  if  the gender  aspects of

taxation are addressed at  the outset of  policy-making.  The main  taxation
issues that  have a  gender-specific impact  are the  unit of  taxation, the
progressiveness  of  taxation,  the  balance  between  direct  and  indirect
taxation and the availability of tax  rebates relating to dependency  status
and child  care.   The importance of  these issues varies  according to  the
level  of  economic development:    while  to  women  in the  industrialized
economies personal taxation issues  are of greater importance, in developing
countries, where women's income is often below  the taxable threshold, it is
the  balance  between  direct  and  indirect  taxation,  sectoral   taxation
policies and the  progressiveness of the tax  schedule that are relevant  to
women's employment and access to productive resources.

71.   More progressive personal taxation  schedules, the choice  of joint or
individual  income  as  the  unit  of   taxation  and  reduced  reliance  on
regressive taxation will  all tend to be to the advantage of  women and will
provide  incentives for  women to seek  paid employment.   Provision for tax
rebates  for such  expenses as  child care  is also  desirable in  order  to
encourage high  participation rates.   Taxation that  penalizes exports  and
the agricultural sector tends to worsen the economic position of women.


         VI.  CONCLUSIONS:  STRATEGIES FOR INCREASING THE PARTICIPATION
              OF WOMEN IN ECONOMIC DEVELOPMENT

72.  Economic policies  and development strategies  affect women everywhere,
often  to a  greater extent than men.   Some have the  potential to liberate
women's  skills and  contributions  while others  intensify  the  conditions
which prevent  that from  happening.   Cross-country analyses  of access  by
women to  productive  employment  and entrepreneurship  show that  a  growth
strategy of protection and capital intensity  has been inimical to promoting
gender equality  in access to  markets.   It also  shows that  macroeconomic
policies  deployed to  address allocative  distortions have  often  worsened
women's position relative  to men.   It is  important, however,  to keep  in
perspective that  the "negative  impact" on  women of  structural adjustment
policies  has been  due  first of  all to  the  rigidity of  their  socially
ascribed roles and their limited access  to productive resources, which were
already in existence prior to the introduction of economic reform.   Another
reason why  economic policies sometimes  lead to gender-asymmetric  outcomes
is that gender remains outside the context of  their formulation.  Here, the
issue is  not limited to  the gender-inequitable  outcomes of  macroeconomic
policies:  it  is the efficiency and  sustainability of those  policies that
is at  stake if gender remains  outside the  subject-matter of macroeconomic
development planning.

73.   Strategies for the  integration of women  in development  in the 1990s
have  to be  focused on  introducing  gender  awareness into  every step  of
macroeconomic  policy-making and  development planning.   Forging  the  link
between  macroeconomic   policy  instruments  and   the  ultimate  goal   of
development - poverty alleviation  - requires the  explicit articulation  of
the  gender  dimension  of  all economic  activity  in both  the  theory and
application  of macroeconomic  development.  Gender analysis  should  be  an
integral part of  the design of policies  and programmes aimed  at promoting
economic growth, stability and the alleviation of poverty.

74.   Taking  gender into  account in  development policies  will require  a
modification  of  the  underlying  assumptions about  development.    Such a
modification would entail  combining efficiency  and equity  factors in  the
conceptualization  and   implementation  of  development   policies.     The
elimination  of  gender-based distortion  in  the  allocation  of  resources
should  be seen as complementary to efficiency, rather than in opposition to
it.  Furthermore, if  equity in outcomes of the development process in terms
of gender entails equality of  opportunity, then it should  be approached on
the  basis  of  the recognition  of  similarities  rather  than  differences
between women and men.   For example, an extra  cost of maternity  leave and
child  care to  employers of women  should not function  as a tax  on female
employment.

 75.   A central  conclusion of  the present  analysis is that  all economic
policy  questions,  at the  national  or  international  level,  need to  be
subject  to  examination in  terms  of  their  gender  dimensions.   Careful
attention to this procedure can help  ensure that the effective mobilization
of  women  for  development  is  a  central  part  of  development policies,
planning  and  programmes.  A  possible future  step  would be  to  begin to
develop  theoretical and econometric  models that  could begin  to factor in
gender issues and thereby help refine economic policy decisions.


Notes

  1/  United Nations publication, Sales No. E.95.IV.1.

  2/    See, for  example,  the  reports of  the  Secretary-General  on  the
negative effects of the  international economic situation on the improvement
of  the status  of women  (E/CN.6/1990/3); the  integration of women  in the
process  of  development (E/CN.6/1992/8);  and  women  in  extreme  poverty:
integration   of   women's  concerns   in   national   development  planning
(E/CN.6/1993/3).

  3/  See Commonwealth Secretariat, "Engendering adjustment  for the 1990s";
report  of a Commonwealth  expert group  on women  and structural adjustment
(1989);  and  "Women's economic  potential  to  overcome  poverty";  advance
report of the findings and recommendations  of the International Round Table
on Women's Economic Potential to Overcome Poverty, Bonn/konigswinter,  27-30
November 1994.

  4/    Diane  Elson,  "Gender  issues  in  development  strategies";  paper
prepared  for the  United Nations  seminar on  the  Integration of  Women in
Development, Vienna, 9-11 December 1991).

  5/     The   two-stage  "gender   planning"  model   developed  by   Moser
distinguishes, from both a policy and  an operational viewpoint, between the
practical or present interests of women  (current inadequacies in the living
and working  conditions of  women, for  example) and  strategic needs  which
target more  egalitarian gender relations, either  by reducing  the basis of
women's economic disadvantage or by modifying  the gender division of labour
so that it  does not constrict  women's income earning potential  (C. Moser,
Gender Planning and Development:  Theory,  Practice and Training (New  York,
Routhledge, 1993)).

  6/   Rosi Braidotti  and others,  Women, the  Environment and  Sustainable
Development:  Towards a Theoretical Synthesis  (London, Zed Books, 1994), p.
82.

  7/  Susan Bullock, Women and Work (London, Zed Books, 1994), p. 30.

  8/    World  Labour Report,  1994  (Geneva,  International  Labour Office,
1994).

  9/   United Nations  Population Fund,  National Perspectives on Population
and  Development:   synthesis  of  168  national  reports  prepared for  the
International Conference on Population and Development, 1994, p. 30.

   10/    See  Shirley  Nuss and  others,  "Women  in  the  world  of  work:
statistical analysis  and projections  to the  year 2000",  Women, Work  and
Development, No. 18 (Geneva, International Labour Office, 1989).

  11/   Economic Commission  for Europe,  "Regional review  and appraisal of
the  Nairobi  Forward-looking  Strategies:    report  by  the   secretariat"
(E/ECE/RW/HLM/1), 15 August 1994.

  12/  The Economist, 5 March 1994.

  13/   International  Institute of  Labour  Studies,  "Women workers  in  a

changing  global environment:  framework for discussion"; paper prepared for
the  International Forum  on  Equality  for  Women  in  the World  of  Work:
Challenges for the Future, Geneva, 1-3 June 1994.

  14/    See P.  Collier,  "Women in  development:   defining  the  issues",
Policy, Planning and Research Working Paper (World Bank, 1988).

  15/  Ibid.

  16/   The  World's Women,  1995:   Trends and  Statistics (United  Nations
publication, Sales No. E.95.XVII.2), p. 113.

  17/   See Economic  Commission for  Europe, "Women's  access to employment
and entrepreneurship" (E/ECE/RW/HLM/4), 1994.

  18/  Occupations that are  likely to generate most of the new jobs in  the
period 1990-2005 are:   salespersons (retail); registered nurses;  cashiers;
general office clerks;  truck drivers; general managers and top  executives;
janitors  and cleaners,  including maids  and housekeepers;  nursing  aides,
orderlies  and attendants;  food  counter and  related workers;  waiters and
waitresses; teachers  (elementary and secondary  school); receptionists  and
information   clerks;  system   analysis   and  computer   scientists;  food
preparation    workers;   child-care    workers;    gardeners/groundkeepers;
accountants and  auditors; computer  programmers; and  guards; of these,  13
occupations are on the  list of occupations with  a very high  concentration
of women (see The  World's Women, 1995, and Economic Commission for  Europe,
E/ECE/RW/HLM/1 and 2, 1994).

  19/  The Economist, 23 August 1986, p. 13.

  20/  S. Washington, "Women at work", OECD Observer, No. 176 (1992).

  21/   National Association  for Female  Executives, Women  in the American
Workforce and Power Structure:  A Contemporary Snapshot (June 1993).

  22/  X-inefficiency is  the notion that individual  firms - and  economies
as a  whole -  are  more likely  to operate  inside the  frontiers of  their
production  possibilities  than  on  them, because  producers  do  not exert
sufficient effort  at all  times  to maximize  output  and  there is  a  gap
between actual  and minimum attainable supply  costs.   The concept suggests
that the costs of  increasing output are zero and that therefore output  can
be raised,  when X-inefficiency exists,  without corresponding increases  in
factor input.
    23/  Angus Maddison, Phases of  Capitalist Development (New York, Oxford
University Press, 1982).

  24/    There  is  no consensus  in  the  literature  on  a  definition  of
microenterprises,  which is typically  a function  of the  number of persons
employed in the business.   The Georgia Institute of Technology has found 50
different  definitions used  in 75  countries (World  Bank, "Employment  and
development of small  enterprises", Sector Policy Paper, (Washington,  D.C.,
1987)).   Definitions may  be based  on capital  invested, or the  number of
employees, or other criteria.  According  to ILO, small enterprises  include
"... modern industrial firms  of up to 50  employees, family units  of three
or four  people, village industries,  associations, companies, cooperatives,
owner-operators,  mini-firms and  the  self-employed in  the  non-structured
sector  of the economy".   While there is  no lower limit  to the  size of a
"small enterprise", fixing an upper limit  usually depends on the  interests
of the person or body concerned and on the particular economic sector  where
the definition is  to be used.   From  the managerial  perspective, a  small
enterprise may  be described  as  one where  operational and  administrative
decisions are  made by one or  two people, but  definitions vary when  small
enterprises  are  considered from  the  perspective  of  financiers,  labour
officers, traders,  services personnel or manufactures.   In  the World Bank
sector policy  paper on  small enterprises it  is suggested  that the  upper
limit of $250,000 for fixed assets should be  used to classify an enterprise

as  "small", but no lower limit  is set.   Whatever the definitions used and
despite the diversity  in terminology (small  enterprises, small and medium-
scale enterprises, microenterprises,  mini-firms, etc.),  it seems  to be  a
fact that women's enterprises  are generally among the very smallest in  the
sector.

  25/   UNCTAD secretariat, "Women as  entrepreneurs and  decision makers in
the least developed countries"; paper prepared  for the Expert Group Meeting
on Women and Economic Decision-Making, New York, 7-11 November 1994.

  26/   M. Baydas, "Discrimination against  women in  formal credit markets:
reality or rhetoric?", World Development, vol. 22, No. 7 (1994), p. 1075.

  27/   S. Joekes  and A.  Weston, Women  and the  New Trade  Agenda (United
Nations Development Fund for Women (UNIFEM), 1994), p. 67.

  28/  M.  Berger, "Giving women credit:   the strengths and limitations  of
credit as a tool for  alleviating poverty", World Development,  vol. 17, No.
7 (July 1989), p. 1021.

  29/  S. Joekes and A. Weston, op. cit., p. 66.

  30/  C. Grown and J. Sebstad, "Introduction:  towards a wider  perspective
on women's  employment", World Development, vol.  17, No. 7  (July 1989), p.
937.

  31/   Women in a  Changing Global Economy:  1994 World  Survey on the Role
of  Women in Development  (United Nations publication, Sales No. E.95.IV.1),
p., 85.

  32/  National report of Kenya, 1994.

   33/  M. Berger, loc. cit., pp. 1019-1020.

  34/   UNCTAD Expert  Group Meeting on  Women in Development  in the  Least
Developed Countries, held at Niamey on 24 January 1995.

  35/  National report of Ghana, 1994.

  36/  M. Baydas, loc. cit., p. 1074.

  37/   D. Adams and J. von Pischke, "Microenterprise  credit programs: deja
vu", World Development, vol. 20, No. 10 (1992).

  38/  National report of Ghana, 1994.

  39/   C. Gladwin,  ed., Structural  Adjustment and  African Women  Farmers
(Gainesville, University of Florida Press, 1991).

  40/  M. Baydas, loc. cit.

  41/  P. Collier, op. cit.

  42/  National report of Namibia, 1994.

  43/  W. A. Lewis, The Theory of  Economic Growth (London, Allen and  Unwin
(1955).   Cited  in D.  Elson,  "Gender  issues in  development strategies";
paper  prepared for  the seminar  on  integration  of women  in development,
Vienna, 9-11 December 1991.

  44/  D. Elson,  "Gender-aware analysis and development economics", Journal
of International Development, vol. 5, No. 2 (1993), pp. 237-247.

  45/  C.  Blackden and E.  Morris-Hughes, Paradigm Postponed:   Gender  and
Economic  Adjustment in  Sub-Saharan  Africa.   Human Resources  and Poverty
Division, Technical Note No. 13 (World Bank, August 1993), p. 8.

  46/  F. Perkins, "Are women  benefiting from economic development?"),  IPA
Review, vol. 46, No. 4 (1994), pp. 45-49.

  47/  S. Joekes and A. Weston, op. cit., p. 59.

  48/  B.  Norton, "Why women's businesses  are getting ahead in exporting",
Working Woman, vol. 19, No. 7 (July 1994).

  49/  Ibid.

  50/  D. Elson, loc. cit., p. 240.

  51/    S.  Feiner  and  B.   Roberts,  "Hidden  by  the   invisible  hand:
neoclassical economic  theory and  textbook treatment of  race and  gender",
Gender and Society, vol. 4, No. 2 (June 1990), pp. 159-181.

  52/    I. Palmer,  "Social  and  gender  issues  in macro-economic  policy
advice";  paper  presented  at the  International  Round  Table  on  Women's
Economic Potential to  Overcome Poverty,  Bonn/Konigswinter, 27-30  November
1994.


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