Elizabeth M. King
Published: 1990
Total Pages: 72
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This study examined how education and postschool vocational training affect the type and extent of labor market participation of women in Peru. It also estimated monetary returns to different levels of schooling, to formal general and technical schooling, and to training. The sample, which comprised more than 5,600 women in urban and rural Peru, was drawn from the Peruvian Living Standard Survey. More than 70 percent of these women were in the labor force at the time of the survey, about 35 percent working in paid jobs. The overall level of female labor force participation in Peru is 72 percent, and this percentage is higher in rural areas than in urban areas. The majority (60 percent) of paid female workers are self-employed, but these jobs tend to be very low paying. Women holding jobs in the public sector are the best paid. In general, the study found that education and training enhance the contribution of women in the labor market. Although education does not increase the participation of Peruvian women in the labor force (and may in fact decrease it), it alters the occupational distribution of female workers by increasing the proportion of women in paid employment. Among paid employees, education is positively related to hourly earnings; the relationship is nonlinear, with primary education showing higher returns than secondary education. The return to postsecondary education appears low and negative, except for the small fraction of women who have earned a diploma. The poor performance of the Peruvian economy since the early 1970s has influenced this result. (26 references.) (Author/KC)