Paper short abstract:

The "pink tax" epitomizes gender-based economic inequality, imposing higher prices on products for women. It especially affects developing countries, exacerbating existing socioeconomic disparities. Addressing this requires robust government policies, including anti-discrimination and taxation.

Paper long abstract:

The "pink tax", an economic phenomenon that has gained prominence in recent years, represents a deeply entrenched gender disparity in the global economic structure. This practice refers to the tendency to charge higher prices for products and services targeted at women compared to their male counterparts, even when the products in question are essentially identical in terms of quality and functionality. The extension of the pink tax goes beyond the borders of developed countries, also significantly impacting the economies of developing economies, where gender disparities are often more pronounced and women face substantial socioeconomic challenges, the pink tax takes on an even more harmful dimension. Women in economically vulnerable communities are faced with the difficult reality of dedicating a disproportionate share of their limited income to purchasing essential products, such as menstrual hygiene products, which are often subject to this type of taxation. In addition to the direct economic impact, gender taxation also has profound implications for the way women are perceived and valued in society, which not only undermines women's self-esteem and self-confidence, but also contributes to the perpetuation of harmful gender stereotypes, reinforcing the notion that women are less rational consumers or less deserving of economic equality. To effectively combat the pink tax in developing countries, it is imperative to implement robust government policies that aim to not only mitigate gender disparities but also actively promote economic and social equity, which could include the adoption and strict enforcement of anti-discrimination laws that explicitly prohibit the practice of the pink tax, as well as the implementation of progressive tax measures that reduce the tax burden on essential products for women. Empowering women economically is not only a matter of social justice, but also a strategy for sustainable and inclusive economic development. Ultimately, the pink tax is a global problem that requires a global response. By acknowledging its existence and working together to combat it, we can create a world where men and women are treated equally, economically, and socially, regardless of where they live or their gender identity. We intend to address the current state of pink taxation in the developing world, with special emphasis on Brazil and India, through the lenses of Amartya Sen’s work, especially the theoretical framework of the capability approach, as well as identify possible policies applicable to those countries that might reduce gender inequality and promote welfare and socioeconomic development.