Natural disasters, foreign direct investment, and women's rights in developing countries

Abstract

We examine the conditions under which women's economic and political status is less vulnerable in the aftermath of natural disasters. We theorize that women in natural disaster-hit countries that receive higher levels of foreign direct investment (FDI) are less susceptible to the gendered impacts of those disasters. Since FDI is vital to post-disaster economic recovery, countries grappling with natural disasters are motivated to uphold women's rights as a strategy to attract FDI. Furthermore, multinational corporations (MNCs)’ operation and commitment to gender equality-based values and practices are also an impetus to address the deterioration in respect for women's rights. By conducting a time-series cross-sectional, ordered logistic analysis with random effects and using a comprehensive dataset on natural disasters and women's rights, including 107 developing countries from 1990 to 2011, we find that FDI mitigates natural disasters' adverse effects on women's economic rights but not their political rights.