This study uses a computable general equilibrium (CGE) model specially
constructed for investigating gender dimensions of the effects of trade
liberalization in Pakistan in both production and consumption. The model
employs various indicators to measure the gendered impacts, including income
poverty (Foster-Greer-Thorbecke [FGT] Indices), time poverty (leisure),
capability poverty (literacy and infant mortality), and welfare (Equivalent
Variation [EV]). The simulation results show that revenue-neutral trade
liberalization in Pakistan increased women’s employment in unskilled jobs
and increased women’s real wage income more than men’s for all types of labor,
but kept the division of labor biased against women. The study finds that
Pakistan’s trade liberalization adversely affected women in relatively poor
households by increasing their workload, deteriorating capabilities, and
increasing relative income poverty. However, the effects remained gender
neutral or favored women in the richest group of households.