Essays in Applied Macroeconomics

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Essays in Applied Macroeconomics is written by Munseob Lee and published by . It's available with International Standard Book Number or ISBN identification 0355078074 (ISBN 10) and 9780355078077 (ISBN 13).

The second chapter is about cross-country productivity differences. The disparities in cross-country labor productivity are greater in agriculture than in other industries. I propose that the misallocation of female talent across sectors distorts productivity. I formalize the theory by using a general equilibrium Roy model with gender-specific frictions. If female workers experience higher frictions in non-agricultural sectors, then unproductive female workers will select into agricultural sector. From a sample of 69 countries, I find that low-income countries have higher frictions in non-agricultural industries. By setting frictions to US levels, agricultural labor productivity increases by 20.6 percent and GDP per capita increases by 6.0 percent, primarily in low-income countries.