Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/321864 
Year of Publication: 
2025
Series/Report no.: 
WTO Staff Working Paper No. ERSD-2025-05
Publisher: 
World Trade Organization (WTO), Geneva
Abstract: 
On average, wages of female workers are lower than wages of male workers. In this paper, we explore to what extent a gender bias in trade costs explains this gender wage gap and how different policy reforms could lower it. First, we analyse the relation between various types of trade costs and female labour intensity across sectors. We find that more female labour intensive sectors face both higher tariffs and non-tariff barriers when exporting to other regions and when importing inputs. Second, we explore different trade policy reforms with regards to goods and services trade, and find that services trade policy reform has a more meaningful impact. Third, we simulate trade cost reductions caused by a reduced requirement for face-to-face interaction in services jobs, a phenomenon driven by digitalisation. This change would generate a much larger reduction of the gender wage gap than trade policy reforms.
Subjects: 
Trade Policy
Gender wage gap
Labour market discrimination
JEL: 
F16
F17
J16
Document Type: 
Working Paper

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