Page 13 - AEI Insights 2020 - Vol. 6, Issue 1

Furuoka et al, 2020

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2013 2014 2015 2016 2017 2013 2014 2015 2016 2017
PC Indonesia PC Malaysia NKPC Indonesia NKPC Malaysia
PC Philippines PC Singapore NKPC Philippines NKPC Singpore
PC Thailand NKPC Thailand

Figure 3: Time varying slope parameter in Phillips curve (PC) and New Keynesian Phillips curve (NKPC) in
ASEAN-5

Female workers in ASEAN

Women in ASEAN have made significant progress in education attainment. Yet, their potential
is not fully utilised especially in the workforce. A report from World Bank indicates that labour
force participation rate for females above 15 years in ASEAN countries was 61 percent in
September 2018, signalling a huge potential for future economic growth in the region (The
ASEAN Post, 8 March 2019).
The female labour force participation rate in ASEAN countries as shown in Figure 4 ranges
from 45 to 73 percent in 2017. Female labour force participation rate (FLFP) is the lowest in
the Philippines (45.4 percent) and the highest in Cambodia (73.4 percent). Except for the
Philippines and Thailand, most other countries experience an increase in the FLFP rate.

A low female participation rate represents a stock of underutilised labour where potential
human capital in a society is restricted to household endeavours (Hirschman & Aghajanian
1980). In general, employment and earnings can improve women’s bargaining power in the
household, which in turn is a tool to improve females and children’s well-being (Klasen &
Pieters, 2015).

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