International Journal For Multidisciplinary Research

E-ISSN: 2582-2160   •   Impact Factor: 9.24

A Widely Indexed Open Access Peer Reviewed Multidisciplinary Bi-monthly Scholarly International Journal

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Volume 8 Issue 5
September-October 2026

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Female Labour Force Participation and Economic Development in India: A State-Level Panel Analysis, 2017–18 to 2021–22

Author(s) Ms. Akansha
Country India
Abstract This paper examines the relationship between female labour force participation and economic development across 28 Indian states over five PLFS survey years, from 2017–18 to 2021–22. Female labour force participation rate (FLFPR) is measured for women aged 15 years and above under the usual-status (principal status plus subsidiary status) approach. Economic development is proxied by real per-capita Net State Domestic Product (NSDP) at constant 2011–12 prices. The study first estimates pooled ordinary least squares, then controls for unobserved time-invariant state characteristics using state fixed effects, and finally adds year fixed effects. The pooled specification shows a positive association between FLFPR and log real per-capita NSDP. However, after controlling simultaneously for state and year effects, the FLFPR coefficient falls substantially and is statistically insignificant. A first-difference robustness check likewise finds no statistically significant relationship. The results indicate that cross-state differences in female participation and economic development cannot be interpreted as a simple causal relationship. The findings highlight the importance of employment structure, sectoral composition, household constraints and state-specific characteristics.
Keywords Female labour force participation; economic development; India; panel data; fixed effects; labour economics; PLFS.
Field Business Administration
Published In Volume 8, Issue 5, September-October 2026
Published On 2026-10-06
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E-ISSN 2582-2160
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CrossRef DOI prefix of IJFMR is 10.36948/ijfmr

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