The determinants of female labor force participation in Vietnam: The role of the globalization

By Nguyen Thi Lieu (VNP 26)

Supervisor: Prof.Dr. Nguyen Trong Hoai

Abstract:

The main objective of this study is to examine whether the globalization has an impact on female labor force participation in Vietnam. The research data are extracted from Vietnam Statistical Yearbook by the General Statistical Official of Vietnam (GSO) and the Provinces Statistical Yearbook from 2010 to 2019. The variables in this paper include Female labor force participation (FLFP), Foreign direct investment(FDI), Trade openness(TRADE), Growth rate of gross region domestic products (GRDP), Inflation (CPI), Total fertility (TFR), Female unemployment (FUR), and Urbanization rate (URBAN) of 63 provinces in Vietnam. The findings show that Trade openness led to higher female labor force participation, suggesting the integral role of globalization in increasing job opportunities for women. Second, Although FDI inflows into Vietnam have grown since our country opened to international integration, FDI had a negative impact on female labor force participation. This finding is probably related to the transfer of comparative advantage from labor to technology-intensive production.