Gender Inequality, Economic Growth and Firm Performance: A Literature Review

Abstract

This article provides a systematic review of the theoretical and empirical literature on the links between gender inequality, economic growth, and firm performance, with particular attention to the Middle East and North Africa (MENA) region. Drawing on neoclassical theories of human capital and labor market discrimination, institutionalist and feminist approaches, the capabilities framework, and endogenous growth models, this synthesis identifies four transmission channels through which gender disparities impair economic dynamics: human capital accumulation, demographic transition, efficient talent allocation, and institutional quality. At the microeconomic level, available empirical evidence reveals measurable positive effects of gender diversity in governance structures on firm profitability, innovation capacity, and decision-making quality. This article highlights persistent gaps in the literature and proposes an empirical research agenda centered on the articulation between the macroeconomic and microeconomic dimensions of gender inequality in emerging economies.