El impacto de la crisis econmica mundial: Una perspectiva de
gnero Rania Antonopoulos Quito, 26-27 Noviembre 2009 Foro
Internacional LA CRISIS MUNDIAL Y ECUADOR: CARACTERISTICAS,
CONSECUENCIAS, OPORTUNIDADES Y DIMENSIONES DE GNERO; MINISTERIO DE
FINANZAS, UNIFEM, CI- GENERO,FLACSO AC DEMOCRACIA, ILDIS Slide 2
The role of Markets revisited Challenge: Sub-prime mortgage crisis
leads to turmoil in financial markets Challenge: Overall demand is
insufficient to provide jobs and hire those who need and wish to
work Challenge: Poverty, inequality, discrimination, precarious
work conditions, low wages Slide 3 The role of Government revisited
Economic and Social outcomes of Laissez faire, and small government
prove uneven and often times disappointing In financial markets it
can ameliorate instability and fragility: - Bailout (who/how???) -
But also different rules and regulations are needed (what are the
new rules???) These are not simply technical issues Slide 4 A
framework to understand the crisis from a gender perspective
Financial sector Market Production sector Government Sector
Household production sector, plus Care, Reproduction and
fulfillment of basic needs of people Paid formal Unpaid Work Paid
informal Slide 5 A framework to understand Gender dimension of the
Crisis Financial sector Market Production sector Government sector
Household production, Reproduction and fulfillment of basic needs
of people Functional Distribution of Income ? Washington Consensus,
Inflation targeting Deficits, IMF, Social spending??? Neglect of
domestic demand, reliance on exports, commodity chain production
Financial market Liberalization Slide 6 A Gender perspective on the
crisis Global and National economic and institutional arrangements
in the making for many years led to this financial crisis
disregarding another equally real crisis : the non-fulfillment of
basic human needs and of a pro-poor, gender equitable development
agenda Slide 7 Outline of the issues presented 1. Asymmetric
impacts of the Crisis 2. A Gender analysis on the crisis a) how are
women impacted upon differently than men? b) what may be a gender
equality agenda at this juncture? 3.The policy space created:the
right to a job? a)Can the right to work become part of the
Constitutional set of rights? b) can it also promote
gender-equality and pro-poor growth? Slide 8 Asymmetry #1
Developing countries are hit by the current crisis hard, for no
fault of their own Asymmetry #2 Not all governments have the
capacity to engage in expansionary policy and fiscal stimulus
packages Asymmetry #3 Social impacts are uneven: People living in
poverty have little to cushion them; As poor women and men occupy
different social and economic positions, their response to the
crisis and their suffering from it should not be treated as
identical Slide 9 Asymmetry #1 Developing countries are hit hard by
the current crisis, and for no fault of their own GDP growth Trade
flows Remittances Slide 10 Declining GDP per capita Source: top
graph Jomo K, UN-DESA (July 13-14, 2009;GEM-IWG conference); bottom
graph Jayati Ghosh (July 10,2009; GEM-IWG Workshop) De-coupling?
Slide 11 Top Recipients of Migrant remittances Remittances in
Mexico and other Latin American Countries ($US) World Trade
(percentage change per year) Slide 12 Asymmetry #2 Not all
governments have the capacity to engage in expansionary policy and
fiscal stimulus packages Slide 13 Most vulnerable: high poverty and
slow growth Slide 14 2003 to 2007 Number of Countries Current
Account Balance External Debt Foreign Exchange Reserves, excl. gold
% improvement % of GDP 2003 % of GDP 2006 % with improvement % of
GDP 2003 % of GDP 2007 % with improvement Africa31 45% 89.743.0 97%
12.818.1 78% Central and Eastern Europe 8 38% 55.457.3 57% 21.023.2
63% CIS8 25% 56.144.5 88% 12.921.3 100% Latin America and the
Caribbean 16 38% 63.737.6 100% 11.714.8 69% Middle East, incl.
Egypt 7 43% 54.028.6 100% 41.150.1 40% Asia, incl. NICs 20 45%
52.536.9 100% 27.232.7 69% External Indicators of Developing and
Transition Economies (with Population over 5 Million) Slide 15
Asymmetry#3 Social Impacts are uneven People living in poverty have
little to cushion them Women and men respond differently to the
crisis Slide 16 Social impacts ILO: 200 m. more working poor ILO:
Unemployment to rise by 51m World Bank: 53 million more people in
poverty This is on top of the 130-155 million people pushed into
poverty in 2008 because of soaring food and fuel prices Social
spending is at risk (infant and maternal mortality) decline in
state revenues ODA volatility and financing for MDGs Rising social
unrest Crisis is expected to lead to greatest security risks Slide
17 Social Impacts are uneven Malnourishment and school withdrawal
among poor children: in most countries, girls suffer more Women
increase their Supply of Labour because they accept to work under
very informal conditions Men suffer from depression, low
self-esteem and will experience in some cases a decrease in life
expectancy When tax revenues decline, government social spending is
the first victim. More unpaid work by women who end up working
longer (unpaid) hours to close the gaps plus maternal mortality
will be further on the rise Slide 18 What have we learned from past
crises? 1. Investment rates collapse and savings rates rise (i.e.,
The Asian crisis of 1997-98) countercyclical policies are badly
needed (IMF?WB?) 2. Even when economic growth resumes, employment
levels take a very long time to recover public service job creation
policies are badly needed Slide 19 Jayati Ghosh, GEM-IWG Workshop,
Day 10, Session II, July 10, 2009, The Levy Economics Institute
Slide 20 What else do we know from past experiences? The Asian
financial crisis shows that the massive unemployment impacts
--doubled rates within a year of the crisis-- persisted for a long
time ( LABORSTA, ILO) Indonesia has never recovered Thailand and
the Philippines have taken nearly a decade to decrease unemployment
rates to the pre-crisis levels Slide 21 2.A Gender perspective on
the crisis (continued) a) how are women impacted upon differently
than men? b) what may be a gender equality agenda at this juncture?
Slide 22 Total Workload Earnings Gap: Selected Developing Countries
Slide 23 What Is Unpaid Work? Gaining access to basic inputs for
cooking, cleaning, sanitation, food processing etc: collecting
water, wood etc Providing Care work: children, elderly, chronically
ill etc; Volunteer work;Subsistence Production, family businesses
Where? at home and in the public domain Slide 24 Formal work some
family labor Formal work Household Sector Public Sector Formal Work
Supplies labor Receives income Saves and Consumes Banks HOUSEHOLDS
in the Economy: Business Sector The conventional view Original
graphic design of this and the following slide is from Eugenia
Gomez Luna, "Unpaid work and the System of National Accounts",
Session 9, Conference on Unpaid Work: gender, poverty and the MDGs,
October3-4, 2005,
http://www.levy.org/undp-levy-conference/program_documents.asp
Slide 25 Formal Labor Informal Labor Formal Volunteer Household
Sector NGO Sector Deterioration of Human capabilities? Formal work
Informal work Unpaid work Upaid work Volunteer work Formal Labor
Informal Labor Upaid work Volunteer work Public Sector Business
Sector a different (Macro) perspective Slide 26 Women and
Employment Guarantee Programs Issue#1: Supply of labor issues (
constraints by unpaid work; availability of crche etc) Issue#2:
types of projects women want - Participation in design of projects
( unpaid work, cooperatives, skill enhancement) Issue#3: evaluation
criteria must include reduction of drudgery and unpaid work Slide
27 Slide 28 Gender paths of transmission of the crisis Micro credit
and Micro-finance institutions Paid work in export sectors:
textiles, consignment, agriculture and tourism Informal work and
vulnerable workers Unpaid work and invisible vulnerabilities
Remittances and migration Slide 29 Micro-finance institutions Over
3,330 MFIs reached 133 million clients in 2006 93 million of the
clients were among the poorest when they took their first loan, 85%
women REMITTANCES and Migration Tajikistan(45.5% of GDP), Moldova
(35% of GDP) Uganda, Zimbabwe and Tajikistan(drop of 50%) EXPORTS
High-end agricultural Uganda - cut flowers 85% female Ecuador- cut
flowers 70% female Thailand fruits 80% female EXPORTS High-end
agricultural Malaysia - garments 78% female Bangladesh- garments
85% female Philippines- electronics 53% female Slide 30 The crisis?
We must bear in mind that for many people, in many countries this
crisis comes to sit on top of other crises poverty income
inequality diminishing space for livelihoods unemployment Basic
needs remain unfulfilled,including the right to a job Slide 31
Slide 32 3. The policy space created: the right to a job? a) Can
the right to work become part of the Constitutional set of rights?
b) Can it also promote gender-equality and pro-poor growth? Slide
33 Why an EGS,ELR,PWP? The right to work promotes Dignity,
inclusion and expanded democracy (rights based approach to
economics and to life) Direct and indirect income creation Direct
and indirect job creation RESOURSE MOBILIZATION??? LABOUR!!!! But
community development promoting work!!! that also reduces unpaid
work Slide 34 Why an EGS,ELR,PWP? The right to work promotes
(continued) Public and Private Asset creation Pro-poor growth
Change our mentality about growth as the single developmental
objective and replace it with pro- poor growth, employment
creation, social inclusion, improvement in the life of all people
Slide 35 Typology of Direct Job Creation Government Programs The
Right to Work: INDIA NREGA since 2006 Recognition of Unemployment
during prosperity: South Africa since 2005, Sweden and Australia
(1940s-70s) ILO Employment Intensive Infrastructure(since 70s in
many African countries) Emergency Programmes:Indonesia, Korea,
Argentina post 2001 financial crisis, USA (New Deal and now) Social
Funds:Bolivia (1986), Chile (1975-1987), Peru (1991) ???? Slide 36
Employment Guarantee Programs - What kinds of jobs and for what
types of projects? -Who is eligible? For how long? -What is the
cost of such projects and what are the benefits? Financing? Are
they inflationary? -Institutional arrangements? Technical
expertise? Slide 37 Employment Guarantee Programs Expanded Public
Works Programmes [infrastructure, social sector, environment,
economic] SOUTH AFRICA National Rural Employment Guarantee Act
[Right to Information Act- Ongoing Social Audits ] INDIA Slide 38
Slide 39 Time Spent on Unpaid Work -SA Slide 40 Total Hours Spent
on Unpaid Work per Year by Household Type and Gender 0
1,000,000,0002,000,000,0003,000,000,0004,000,000,0005,000,000,000
6,000,000,0007,000,000,0008,000,000,000 Urban Formal African Urban
Formal Coloured/Asian Urban Formal White Urban Informal African
Rural Commercial African Rural Commercial Coloured/Asian Rural
Commercial White Ex-homeland African Household Group Total Hours
Per Year Female Male Slide 41 Rural Areas in India Types of
Community Projects Rural roads and access roads Rural land
development Flood control works Water conservation and water
harvesting Irrigation facilities to land owned by poor people and
to beneficiaries of land reforms Reactivation of traditional water
harvesting and distribution systems Slide 42 EPWP Types of
Community Projects Road construction and maintenance Water delivery
Ecological latrines Early childhood development (unpaid work) Home
and community based care (unpaid work) Environmental water
conservation Prevention of fires Slide 43 EPWP: Social Sector
Social Sector consists of ECD/Education and HCBC/Health High female
intensity (60 and 69% respectively) addresses female unemployment
in the short run and builds skills in the long-term Data source:
Friedman, Irwin, Bhengu, L., Mothibe, N., Reynolds, N., and
Mafuleka, A., (2007) Scaling up the EPWP,Health Systems Trust,
November, Volume 1-4. Study commissioned by Development Bank of
South Africa and EPWP. Slide 44 Background on the Study Type of
Intervention : scaling up Early Childhood Development and
Home/Community Based Care The right to work, the right types of
projects? unpaid work and gender issues Research project on
micro-macro impact of scaling up public job creation South Africa
Study: Kijong Kim (Levy Institute), EPWP interviews, Irwin Friedman
(Health Trust Fund) and PROVIDE team (Dept. of Agriculture) Slide
45 EPWP: Social Sector Slide 46 The SAM for South Africa Based on
PROVIDE, Dept. of Agriculture Factors disaggregated by skill and
gender 26 sectors 20 types of hhs 7 exogenous sectors Slide 47
Types of Households Slide 48 Policy Simulations All Existing Types
of Projects have the potential to reduce unpaid work and facilitate
creation and access to basic services EPWP Working for Water;
environment sector (Tsitsikamma 2004/05) EPWP Social Sector (Health
Trust Fund) EPWP Infrastructure;Access roads and Water Reticulation
(SCIP Engineering Group) Options for Job allocation scheme Jefes
variation by population weights (part time year around) NREGA
scheme (100 days) Poverty weights-normalized by population
Unemployment weights normalized by poverty incidence Target
population Poor and ultra poor households comprising (50% of the
unemployed); unskilled wages according to programme stipulations
and skilled according to SAM Slide 49 Impact of EPWP Injection
ex-ante evaluation of policy scenarios Direct and indirect job
creation (skill level/gender/sector) Direct and indirect income
received by type of hh Depth of poverty reduction GDP growth?
Pro-poor growth?Sectoral growth? Fiscal space expansion? Impact of
new assets and service delivery for participants and community
Slide 50 Simulation Results 9 billion Rand, full time-year around
jobs Direct job creation (1,2million) Indirect job creation: for
every 3 EPWP, another one in the economy is created GDP (+1.7%),
tax expansion (1/3 recovered) Poverty reduction: pro-poor growth!
Slide 51 Costs and Benefits Social inclusion Income-Poverty
reduction? This depends on the length and duration of jobs, wages
and targeting method Asset poverty reduction!!! Service delivery!!!
Gender equality in unpaid and paid work Pro-poor development
Monetary cost: 1% of GDP .?3% of GDP? Opportunity cost of not
mobilizing domestic resources? Slide 52
www.economistsforfullemployment.org Thank you The International
Working Group on Gender, Macroeconomics and International Economics
www.genderandmacro.org Slide 53 member institutions... we are... a
group of economists working towards building a global informal
network of academics, policy advisors, institutions, advocates and
members of government, committed to the realization of the right to
work www.economistsforfullemployment.org we are committed to...
joining forces with all who foster public dialogue and seek to
promote employment guarantee around the world. Together, we can
provide coherent, viable policy alternatives that lead to inclusive
and just outcomes for all Slide 54
