The effects of trade liberalization on gender inequality in Central America and its relevance to the textile and apparel industry and academy

Abstract

Addressing gender (in)equality issues is a concern in Central America (CA) and a global challenge as measured by the Gender Inequality Index (GII). This study used the Heckscher-Ohlin (1933) theory of international trade and the Becker (2010) theory of economic discrimination to examine the impact of CAFTA-DR and TA trade on gender (in)equality in CA. To achieve this purpose, the study used a mixed-methods research design and had two specific questions: (a) RQ1 - "is the implementation of CAFTA-DR and growth in textile and clothing exports and imports associated with gender (in)equality in CAFTA-DR countries? and (b) RQ2 - "how do textile and apparel manufacturing industry women professionals and academics in El Salvador perceive the changes in gender (in)equality overtime due to CAFTA-DR's implementation". The findings suggests that the implementation of CAFTA-DR is associated with positive changes in four out of the five areas of gender (in)equality, including maternal mortality rate, adolescent birth rate, women in parliament seats, and labor force participation of women. The findings also suggest that changes in TA import and exports have had varying degrees of positive effect on gender (in)equality across CAFTA-DR countries and across all GII dimensions. Qualitatively, this study found that more women in El Salvador were pursued careers in the TA industry and collaborated with peers to learn the foundational techniques. CAFTA-DR. Overall, the findings supported Heckscher-Ohlin theory of international trade (1933) and Becker's (1957) economic discrimination theory which suggests, as countries develop and trade grows, gender disparities improve overtime. From the findings, scholars might assess how to improve the lives of women working in TA industries by researching how to close the gaps on (in)equality that impact their at-work and at-home lives as the industry continues to grow and develop.