Gender Inequality, Human C apital and E conomic G rowth in Tunisia: ARDL-Bound Test Approach

Purpose: This study aims to examine the impact of gender inequality and human capital on Tunisia's economic growth, with a focus on understanding how disparities in gender participation and human capital investment affect economic outcomes. Design/methodology/approach: The s tudy analyzes time series data f rom 1995 to 2022 using the Auto Regressive Distributed Lag (ARDL) bounds test for cointegration to identify long-term relationships between variables. Unit root tests, including the Augmented Dickey-Fuller (ADF) and Phillips-Perron (PP) tests, were used to determine the order of integration. An error correction model was then estimated to capture both short-term and long-term impacts, while Granger causality tests were employed to assess directional influences among variables. Findings: In the short term, male labor participation and gross capital formation have a positive impact on economic growth, while the Gender Inequality Index exhibits a significant negative effect on Tunisia's economic performance. In the long term, gross capital formation continues to positively influence economic growth; however, male labor participation exerts a negative impact, possibly due to diminishing marginal returns or structural inefficiencies in the labor market. Furthermore, the Granger causality test reveals a unidirectional relationship where economic growth drives government expenditure on education, and, in turn, government expenditure on education promotes female labor participation in Tunisia. Research limitations/implications: This study is limited to Tunisia and may not fully capture the nuances of gender inequality and human capital impacts in other contexts. Future research could expand the scope to include comparative analysis with other countries in the Arab region or beyond. Originality/value: This study contributes to the limited empirical research on the economic implications of gender inequality in Tunisia. By highlighting the role of human capital investment, particularly in education, and advocating for inclusive policies, the findings offer valuable insights for policymakers aiming to promote sustainable economic growth through gender equality and human capital development.