A Case Study of Pakistan Determinants of Female Labour Force in South Asia 3. Theoretical Considerations Before explaining the underpinning theories, it is significant to define the central theoretical concept used in this study. FLFP is defined as the“women’s decision to be part of the economically active population: employed or unemployed population as compared to being part of the economically inactive population of the economy – those not working nor seeking work”(Hosney, 2016, p. 14). LFPR is the standard measure of LFP. International Labour Organization(n.d.) defines it as“a measure of the proportion of a country’s working-age population that engages actively in the labour market, either by working or looking for work”. This definition would then encompass people engaged in paid employment, self-employed and unemployed people. It is interesting to note how domestic work or work done by people for the household is explicitly not counted as labour force participation. It may mean a partial account of the work done since women in South Asia are disproportionally active in the unpaid work in the household. This part is explained later in detail in the 4th Chapter. In this study, the theoretical framework on FLFP mainly considers the supply side of labour force i-e women’s decision to be a part of the market economy or opting out. The focus here is primarily on the role of education. Although education has been linked with various theories such as household production theories, neoclassical models of growth, this study explores the two complementary theories, namely, human capital theory and the theory of labour supply. 3.1. Human Capital Theory Human Capital Theory is one of the most important theories in the education policy discourse. Becker(1975) explains that human capital is the productive investment in the form of skills, knowledge, abilities that the individual gains mostly from education and on-the-job training programs. The basic idea behind this theory lies in the fact that investment in education and training are prerequisites for increasing LFP, higher earnings, and economic growth. This is because such investments would build the capacities of individuals, improve their productivity, and increase their probability of finding paid 9