Mains Practice Questions

Introduction

The care economy includes both paid and unpaid work (eldercare, domestic chores), largely performed by women, vital for social well-being but often overlooked in GDP calculations. In contrast, the monetized economy refers to income-generating activities, such as employment and businesses, that are included in GDP. Despite its value, the care economy remains largely unrecognized in traditional economic measures.

Body

Monetise ‘Care Economy’ through Women’s Empowerment:

• Recognise Unpaid Care Work: Empowering women is key to acknowledging and integrating care work into national economic planning.
  • By recognizing its value, we not only promote gender equality but also unlock significant economic potential, UN Women estimates this could boost the global economy by up to USD 7 trillion.
• Access to Economic Resources: Empowering women through education, access to financial resources (MUDRA Yojana), and skills training can help transition informal care work into a monetized framework.
  • For instance, women could receive compensation for caregiving roles through state-sponsored schemes or insurance mechanisms.
• Policy Measures for Inclusion: Policy measures like formalizing paid maternity leave (26 weeks under the Maternity Benefits Act, 2017) and childcare services recognize caregiving as vital to the economy.
  • Although the Women's Reservation Act has been passed, its implementation challenges persist, limiting women's representation in policymaking and hindering efforts to address caregiving needs.
  • Unpaid care, if valued, could contribute up to 40% of GDP.
• Promoting Gender Equality in the Labor Market: Empowered women are more likely to engage in formal employment, driving both economic and social change.
  • For example, enabling women to enter and stay in the workforce helps break down the barriers that restrict the formal recognition of care work.
    • MGNREGA provides paid employment to women, with over 55% women participating in caregiving roles.
• Addressing Time Poverty: Women in India spend 5.6 hours daily on unpaid care work, compared to 30 minutes for men, with urban women spending 9.6 times more.
  • Investing in care infrastructure would reduce time poverty and enable more women to join the formal labor market.
• Addressing Skill Gap: India has approx. 2 million Anganwadi Workers, ANMs, and ASHAs vital to the care economy.
  • Skilling, reskilling, and upskilling through programs like PM-SYM are needed to formalize care work, improve job opportunities, and build a skilled workforce.

Conclusion

Greater gender equality blurs the line between ‘care and monetized economies’, ensuring care work is valued and compensated, advancing SDG 5 (Gender Equality), and SDG 10 (Reduced Inequalities).