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Policy
Research
Working
Paper10661For
Labor
or
for
Divorce?Unilateral
Divorce
Laws
and
Wom
en’s
Labor
OutcomesNajat
El
MekkaouiSara
LoukiliYeganeh
FourouheshfarNada
EissaMiddle
East
and
Nort
h
Africa
RegionO?ce
of
t
he
Chief
EconomistJanu
ary
2024Policy
Research
Working
Paper
10661AbstractDespite
substantial
p
rogress
in
closi
ng
the
gender
gap
,women’s
labor
force
p
articip
ation
in
the
Middle
East
andNort
h
Africa
rem
ains
one
of
the
low
est
glob
ally,
at
a
m
ere18
p
ercent.
is
p
ap
erinvestigates
the
e?ect
of
the
introduc-tion
of
unilateral
divorce
law
s
on
women’s
labor
outcomes,using
data
f
rom
the
Demograp
hic
and
Health
Surveyp
rogram
that
sp
ans
decades
and
aquasi-exp
erimental
dif-ference-in-di?erences
design
in
t
hree
countries:
Morocco,the
A
rab
Rep
ublic
of
Egypt,
and
Jord
an.
e
resu
lt
s
high-li
ght
that
no-fault
d
ivorce
legislat
ion
was
associated
with
amodest
increase
in
m
ot
hers’
labor
outcomes,
m
easu
red
bycu
rrent
emp
loyment,
afew
y
ears
after
the
ref
orm
.
ese?ndings
are
likely
induced
by
a
p
owershift
and
anticip
atorye?ects
that
drive
women
into
the
lab
orf
orce.
However,when
a
longertime
window
is
considered,
10
ormore
yearsafter
the
ref
orm
,
the
study
documentsa
negative
e?ect
ofthe
ref
orm
on
women’s
labor
outcomes
in
Morocco,
anda
positive
e?ect
in
the
A
rab
Republic
of
Egyp
t
and
Jord
an.ese
di?erences
can
be
attributed
to
a
set
of
cou
nt
erv
ailinge?ects,
including
social
norms,
labor
market
dynamics,
andevolution
of
the
legislat
ion,
that
make
the
derived
utilityf
rom
m
arriage,
in
some
cases,
m
ore
attractive
than
thatderived
f
rom
emp
loyment,
and
vice
v
ersa.
ese
?ndingsp
artially
con?
rm
resu
lt
s
f
rom
p
revious
research
on
the
re
la-tionship
between
no-fault
divorce
and
women’s
agency
andemp
owerment
in
the
Middle
Eastand
North
Africa
region,but,
at
the
same
time,
contrast
with
p
rominent
p
ersp
ectiveson
legislat
ion
that
aims
at
red
u
cing
gender-based
discrim-ination.
Instead,
they
show
that
t
here
might
be
u
nd
esirede?ects
of
legislation
and
provide
a
policy
relev
ant
discussionon
that
basis.is
paper
is
a
p
roduct
of
the
O?ce
of
the
Chief
Economist,
Middle
East
and
Nort
h
Africa
Region.
It
is
p
art
of
a
largere?
ort
by
the
World
Bankto
provide
open
access
to
its
research
and
make
a
contribution
to
development
p
olicy
discussionsarou
nd
thew
orld
.
Poli
cy
Research
Working
Pap
ers
are
alsop
osted
on
the
Web
at
http
:///p
rwp
.
eau
t
hors
may
be
contacted
at
najat.el-mekkaoui@daup
hine.p
sl.eu
or
sara.loukili@daup
hine.eu.e
Policy
Research
Working
Paper
Series
disseminates
the
?ndings
of
work
in
progress
to
encourage
the
exchange
of
ideas
about
developmentissues.
An
objective
of
the
series
is
to
get
the
?ndings
out
quickly,
even
if
the
presentations
are
less
than
fully
polished.
e
papers
carry
thenames
of
the
authors
and
should
be
cited
accordingly.
e
?ndings,
interpretations,
and
conclusions
expressed
in
this
paper
are
entirely
thoseoftheauthors.eydonotnecessarilyrepresenttheviewsoftheInternationalBankforReconstructionandDevelopment/WorldBankanditsa?liatedorganizations,orthoseoftheExecutiveDirectorsofthe
World
Bankorthegovernmentstheyrepresent.ProducedbytheResearchSupport
TeamForlabororfordivorce?ForLabor
orforDivorce?UnilateralDivorce
Lawsand
Women’s
Labor
Outcomes1NAJAT
EL
MEKKAOUI
,SARALOUKILI
,YEGANEHFOUROUHESHFAR
,NADAEISSA2345JEL-Codes:J12;J16;J22;D10;D13.Keywords:
Unilateral
divorce,
Labor
force
participation,
MENA
region,
Morocco,
Jordan,Egypt,Mothers,Intra-householdbargaining.1
The
authors
are
grateful
and
thank
Nelly
Elmallakh,
Nazmul
Chaudhury
and
Daniel
Halim
for
their
helpful
suggestionsand
comments.
This
work
was
supported
by
the
MENA
Chief
Economist
Office
under
the
labor
and
gender
researchprograms
(TTLs:
Nelly
Elmallakh
and
Nazmul
Chaudhury).
It
is
part
of
a
larger
effort
by
the
World
Bank
to
provide
openaccess
to
its
research
and
make
a
contribution
to
development
policy
discussions
around
the
world.
Policy
ResearchWorking
Papers
are
also
posted
on
the
Web
at
/prwp.
The
author(s)
may
be
contacted
atnajat.el-mekkaoui@dauphine.psl.eu
orsara.loukili@dauphine.eu.2UniversitéParis-DauphinePSL
LEDaDIALIRD,EMANESandERF.3UniversitéParis-DauphinePSL,LEDaDIALIRD,EMANES.4The
Euro-MediterraneanEconomistsAssociation(EMEA),EMANESandLEDaDIALIRD.5GeorgetownUniversity,ERF,
and
the
NationalBureauofEconomicResearch(NBER).Forlabororfordivorce?1.
IntroductionOne
of
the
most
persistent
and
salient
features
of
labor
markets
in
the
Middle
East
andNorth
Africa
(MENA)
region
is
that
women
participate
significantly
less
than
men
despitesubstantial
reduction
of
the
gender
education
gap
(Assaad
et
al.,
2020)
–the
averagefemale
labor
force
participation
rate
in
the
region
is
a
mere
18
percent
(WDI,
World
Bank,2021).
For
example,
in
Morocco
only
23
percent
of
women
participate
in
the
labormarket
and
this
rate
is
even
lower
for
countries
like
Jordan
where
it
did
not
exceed
13percent
in
2021.Under
the
canonical
collective
householdmodel,marriagemarkets
andlegislations
governing
divorce
influence
the
labor
supply
of
spouses
and
theintrahousehold
decision
process
(Chiappori
et
al.,
2002;
Fernandez
and
Wong,
2014;Field
et
al.,
2021).
While
a
large
body
of
literature
has
studied
the
consequences
of
theintroduction
of
more
liberal
divorce
laws
on
intrahousehold
distribution
of
bargainingpower
and
labor
supply
within
the
collective
household
labor
supply
framework(Chiappori,
1988;
1992;
Apps
and
Rees,
1988),
less
is
known
about
MENA
regioncountries
in
this
regard.
Particularly
in
circumstances
where
traditional
gender
rolesprevail
as
social
norms
and
where
women
possess
limited
influence
or
bargaining
powerwithin
the
marriage,
their
choices
regarding
work
may
not
be
adequatelyacknowledgedor
facilitated
(Alesina,
2013;
Qian,
2008;
Jensen,
2012;
Heath
and
Mobarak,
2015;Jayachandran,2015;2021).Figure
1.
Relationship
between
gender
progressive
lawsand
FLFPby
Country102030FLFP
rate4050MENASouthAsiaOECDEast
AsiaLatin
AmericaEurope
Central
AsiaFitted
valuesSub-saharan
AfricaSource:
Authors
fromWorldBank,Women,Business,
and
the
Law
(2023)
database.
Note:
Used
data
comes
from
theWorld
Bank’s
time
series
onWomenBusinessand
the
Law
index
(1971-2023)for
122
countries
belongingto
the
MENA,
OECD
high-income,
SouthAsia,Latin
America,
EastAsia,Sub-SaharanAfrica,andEuropeandCentralAsiaregions.Thelatestyear,2023,isconsidered.Theindexscoresarebasedontheaverage
ofeacheconomy’sscoresforthe
8
topics
included
in
the
aggregate
score:
mobility,
workplace,
pay,
marriage,
parenthood,
entrepreneurship,
assets,
and
pension.
The
index
scoresrange
between
0
and
100
and
a
higher
score
indicates
more
gender
equal
laws.
The
corresponding
values
for
female
labor
force
participation
rate
foreachcountry
arefromthe
WorldBank,
WorldDevelopmentIndicators
database.2Forlabororfordivorce?An
institutional
environment
favorable
to
women
(as
illustrated
by
figure
1),
such
as
no-fault
divorce
laws,
coupled
with
increased
chances
of
success
in
marriage
markets6
orthe
possibility
of
accessing
the
labor
market
in
the
event
of
a
divorce,
would
influenceintrahousehold
decision-making
processes,
even
if
a
divorce
does
not
ultimately
occur(Duflo,
2012).
Hence,
divorce
and
marriage
legislation
can
exert
a
substantial
influenceonthese
power
dynamics
and
effectively
boost
women's
participation
inthe
labor
force.This
paper
investigates
the
effects
of
divorce
legislation
reforms
on
women’s
laboroutcomes
in
three
MENA
region
countries:
Morocco,
the
Arab
Republic
of
Egypt,
andJordan.
At
varying
dates
during
the
late
1990s
and
early
2000s,
MENA
region
countriesconsecutively
introduced
different
forms
of
unilateral
divorce
and
child
custodylegislation
reforms
(Welchman,
2007;
Appendix
A).
These
reforms
allowed
women
toeasily
access
divorce
without
having
to
prove
fault
nor
require
consent
of
spouse.
In
pastresearch,
Hassani-Nezhad
and
Sj?gren
(2014)
investigated
a
similar
question
usingcross-country
variation
in
the
timing
of
introduction
of
unilateral
divorce
between
18MENA
countries
using
aggregate
data
and
focusing
on
younger
women’s
labor
forceparticipation
in
comparison
to
women
in
relatively
older
age
groups.
They
showed
thatthe
entry
into
force
of
unilateral
divorce
laws
effectively
increased
labor
forceparticipation
of
younger
women.
Using
a
different
empirical
strategy
and
employingindividual
panel
data,
we
investigate
the
effects
of
unilateral
divorce
and
custodylegislation
reforms
on
women’s
labor
outcomes
by
exploring
differences
betweenwomenwhoaremoreor
lessaffectedbythereform.Insteadofexploitingcross-countryvariations,
we
purposefully
isolate
estimates
for
one
country
at
a
time
to
assess
howcontext-dependent
the
findings
can
be.
In
fact,
a
growing
body
of
literature
has
shownthat
the
relationship
between
intrahousehold
distribution
of
bargaining
power,
socialnorms
on
gender
roles,
and
labor
supply
is
context-dependent,
especially
as
far
asdeveloping
countries
are
concerned
(Duflo
and
Udry,
2004;
Ashraf
et
al.,2009;
2014;2016;
Bau,
2016;
Heath
and
Tan,
2020;
Field
et
al.,
2021).
Moreover,
by
using
micro
data,we
explore
pathways
between
micro-level
gender-based
discrimination
and
inequalitiesand
macro-level
outcomes,
adding
to
the
growing
micro-founded
literature
that
relates6Marriage
markets
in
countries
of
the
Middle
East
and
North
Africa
differ
from
other
countries
where
most
researchonthecanonical
collectivehouseholdlabor
supply
is
developed
and
can
be
characterized
by
underdevelopment
andmissing
markets
(Anukriti
and
Dasgupta,
2017).
Marriage
rates
are
substantially
higher,
mate
selection
ofteninvolves
familyarrangements,
divorcelegislationislimitingto
womenand
social
normsabout
genderrolestend
todetermine
spousalrelations.3Forlabororfordivorce?gender
inequalities
to
macroeconomic
growth
and
development
outcomes
(Seguino,2010;2013;2020;SantosSilvaandKlasen,2021).Women
face
several
barriers
to
enter
the
labor
force,
including
discriminatory
laborlaws,
inadequate
maternity
leave
policies,
and
very
limited
legal
social
protection
againstworkplace
harassment
and
gender-based
violence
(World
Bank,
2021).
Cultural
factorsalso
play
a
significant
role,
as
traditional
gender
roles
and
societal
expectations
oftendiscouragewomen
frompursuingcareersandlimittheirmobility(Jayachandran,2015;Heath
and
Tan,
2020;
Field
et
al.,
2021).
As
such,
deeply
ingrained
stereotypes,
andbiases,
still
highly
present
in
the
MENA
region,
perpetuate
the
belief
that
women
areprimarily
responsible
for
household
chores
and
child-rearing,
creating
an
unequalburden
of
unpaid
work
and
limiting
their
ability
to
engage
in
paid
employment.
On
amacroeconomiclevel,andthroughoutthe
economicliterature,theU-shapedlaborforceparticipation
curve
hypothesis
is
a
stylized
depiction
of
the
relationship
between
femalelabor
force
participation
and
economic
development
(Goldin,
1995).
Although
thishypothesis
is
widely
spread
in
cross-country
analysis
of
the
subject,
some
studies
suchas
Gaddis
et.
al
(2013)
or
Eastin
&
Prakash
(2013)
find
no
or
weak
evidence
of
thisrelationship.
They
conclude
that
an
S-shaped
relationship
is
more
likely
to
exist
and
thatthrough
this
paradigm,
the
“dangers
of
the
middle
phase”
should
urge
to
put
in
place
newnorms
and
new
institutions
promoting
women
in
the
workforce
(Eastin
&
Prakash,2013).
Thus,
at
a
macro-level,
economic
and
institutional
barriers
combine
to
create
acomplex
web
of
challenges
that
impede
female
labor
force
participation,
exacerbatinggenderinequalitiesandhinderingeconomicgrowthanddevelopment
aswhole.At
a
micro-level
(individuals
and
households),
women’s
labor
force
participation
isfound
to
have
an
inverse
U-shaped
function
of
bargaining
power
(Moeeni,
2019).Accordingly,
the
importance
of
intra-household
bargaining
power
dynamics
to
femalelabor
forceparticipation
decisions
can
be
explained
by
the
not-so-rare
men’s
oppositionto
the
labor
participation
of
their
spouses.
Asaad
and
al.
(2017)
show
that
women’semploymentintheMENAregionisaffectedbyearlymarriageandfindthatmarriagebythe
median
age
reduces
the
probability
of
working
for
women.
In
this
regard,
the
reformof
legislation
on
divorce
can
constitute
a
strong
shock
to
the
risk
of
divorce
making
iteasier
and,
subsequently,
altering
the
perceived
risk
of
marital
dissolution
which
altersintrahouseholdrelations
anddecisions
(StevensonandWolfers,2006;Stevenson,2007;Alesina
and
Giuliano,
2007).
Literature
suggests
that
enhancing
the
overall
legalframework
potentially
increases
women’s
bargaining
power
within
the
household,4Forlabororfordivorce?making
their
divorce
threats
more
credible
in
case
of
conflict.
Moreover,
alteredmarriage
contracts
arguably
provide
women
with
incentive
to
supply
labor
and
remainin
the
labor
market
through
many
channels.
Chiappori
et
al.
(2002)
find
evidence
of
ashift
to
higher
female
bargaining
power
intra-household
and
El
Lahga
and
Moreau(2007)
suggest
lowerdegreesofspecializationin
domesticproduction.Drawingon
thisstrand
of
literature,
our
central
hypothesis
is
that
divorce
legislation
reform
shouldincrease
women’s
bargaining
power
during
the
marriage,
potentially,
allowing
morewomenintothelabormarket.To
test
this
argument,
we
construct
a
pseudo-panel
of
mothers
that
we
assign
totreatmentand
controlgroupsbasedontheages
oftheiryoungestchild.Usingdata
fromthe
Demographic
and
Health
Survey
(DHS)
program
that
spans
over
decades
and
a
quasi-experimental
difference-in-differences
design,
we
assess
how
the
implementation
of
theright
to
unilateral
divorce
affects
women's
labor
outcomes
in
Morocco,
The
ArabRepublic
of
Egypt,
and
Jordan.
We
follow
cohorts
of
“treated”
mothers
for
several
periodsbefore
and
after
the
reform
thus
including
the
short-term
and
long-term
effects
oflegislative
reforms
onwomen’s
socio-economic
position.
Our
findings
suggest
that
therearetwomainmechanisms:apower-shifteffect
andananticipatoryeffect.Our
results
show
that
the
power-shift
effect
is
most
prevalent
impacting
mainly
marriedmothers
with
children
below
the
legal
age-custody
cutoff,
for
whom
divorce
is
less
costly.However,
this
effect
can
be
offset
by
higher
costs
in
the
labor
market
that
remain
barriersto
women’s
labor
marketization.
This
study
contributes
to
the
literature
on
the
effects
ofdivorce,
child
custody
and
alimony
legislation
on
women’s
labor
outcomes
(Parkman,1992;
Gray,
1998;
Bremmer
and
Kesselring,
2004;
Genadek
et
al.,
2007;
Stevenson,
2008;Bargain
et
al.,
2012;
Hassani-
Nezhad
and
Sj?gren,
2014;
Fernández-Kranz,
2022;Corradini
and
Buccione,
2023).
Additionally,
it
shows
how
the
effects
of
legislation
areheavily
dependent
on
context,
be
it
social
or
economic.
The
following
section
brieflysummarizes
the
institutional
and
legal
background
of
the
reform
in
Morocco,
The
ArabRepublic
of
Egypt,
and
Jordan.
Section
3
presents
the
conceptual
framework.
Section
4describes
the
empirical
strategy
and
data
used,
while
section
5
summarizes
the
resultsandprovides
adiscussion,andsection6concludes.5Forlabororfordivorce?2.
InstitutionalBackgroundDivorce
legislation
in
the
Middle
East
and
North
Africa
region
is
a
part
of
a
broader
FamilyCode
that
covers
issues
including
inheritance,
marriage,
divorce,
alimony,
child
custodyand
child-support,
among
other
personal
status
dispositions.
Family
structures
in
thesecountries
are
characterized
by
a
prevalence
of
patrilineality,
and
social
order
is
thus
basedon
the
superiority
of
men
in
terms
of
rights
and
power.
This
system
of
kinship
and
theimportant
place
reserved
for
the
code
of
honor
have
cemented
the
family
and
are
one
ofthe
possible
explanations
for
the
persistence
of
certain
customs
and
traditions
favoringthe
traditional
role
of
women
to
their
participation
in
the
workforce.
Historically,
familylaws
in
these
countriestreat
women
and
men
separately
with
often
unequal
dispositions,such
as
access
to
divorce.
Against
this
backdrop,
the
introduction
of
unilateral
divorceprovisions
has
fundamentally
changed
one
side
of
the
relational
balance
between
thesexes,
by
granting
women
a
right
that
was
previously
available
only
to
men
(Welchman,2007;
Engelcke,2019).They
additionally,empoweredwomento
exercise
greater
controlover
their
marital
status,
seek
divorce
on
their
terms,
and
secure
their
economic
well-being
after
divorce.
For
reference,
figure
1
in
Appendix
A
shows
a
timeline
of
introductionof
unilateral
divorce
reforms
in
select
MENA
countries
as
well
as
child
custodydispositions
and
age
cutoffs
related
to
child
custody
alimony.
Additionally,
figure
2
inAppendixAshowsthe
evolutionofdivorceratesinTheArabRepublic
ofEgypt,Morocco,and
Jordan,
which
are
relatively
more
stable
than
in
the
years
preceding
the
increase
ofchild
custody
age
in
all
three
countries.
We
provide
more
discussion
on
the
relevance
ofthis
observation
in
section
3
on
the
conceptual
framework.
Let's
first
examine
the
majorchangesinthefamilycodes.The
Arab
Republic
of
Egypt.
The
reform
of
family
laws,
in
2000,
introduced
significantchanges
that
integrated
new
rights
for
women
within
the
family
(Welchman,
2007).
Oneof
the
key
advancements
was
the
establishment
of
the
"Khul"
divorce
provision.
Thisprovision
allows
women
to
initiate
divorce
by
returning
their
dowries
or
financialcompensation
to
their
husbands,
without
having
to
prove
fault
or
seek
their
consent.Moreover,the
reform
addressedthe
issue
of
financial
supportfor
womenafter
divorce.Itintroduced
the
concept
of
"nafaqa,"
which
refers
to
the
right
of
divorced
women
toreceive
financial
maintenance
from
their
ex-husbands
for
a
specified
period.
Thisprovision
ensures
that
women
are
not
left
financially
vulnerable
after
divorce
and
helpsto
protect
their
economic
well-being.
Additionally,
the
reform
emphasized
the
importance6Forlabororfordivorce?of
child
custody.
It
recognized
the
mother's
primary
right
to
custody
of
her
children,particularly
for
younger
children,
unless
it
is
determined
to
be
against
their
best
interests.Incaseofadivorce,the
motherobtainscustody
ofamalechildupto
theageof10,
andofafemalechildup
to
the
ageof12years(article20).Anamendment
tothisarticlein
2005raised
the
age
of
custody
to
15
for
girls
and
boys,
without
distinction.
Throughout
theduration
of
custody,
the
non-custodial
parent
(father)
must
pay
a
pension
to
the
guardianmothertocompensate
herforthecaregiventothechildren.Morocco.In2004,a
new
Family
Code7
that
expandedwomen's
rights
and
responsibilitieswas
introduced.
The
law
received
positive
international
coverage
and
aligned
withMorocco's
international
commitments,
namely
the
CEDAW
(see
Charrad,
2012;
Sadiqi,2013).Thenew
Family
Code
enshrinedequal
rightsand
duties
for
both
spouses.
Theruleof
"the
wife's
obedience
to
her
husband"
was
abandoned,
women
no
longer
needed
amatrimonial
guardian,
the
age
of
marriage
was
set
at
eighteen
for
both
sexes,
instead
offifteen
for
girls
in
the
previous
Code,
and
polygamy
became
subject
to
such
conditions
thatit
was
made
very
difficult.
In
terms
of
divorce
proceedings,
the
new
Code
introduced
aform
of
unilateral
divorce
that
is
on
grounds
of
discord
and
open
to
both
spouses“Chikak”.
This
provision
empowers
women
to
dissolve
their
marriages
without
proof
offault.Intheeventofmaritaldissolution,evenunderthe“Chikak”,custodyofthechildrenreverts
primarily
to
the
mother,
then
to
the
father,
then
to
the
maternal
grandmother.Custodymust
be
guaranteed
bydecent
housingand
pension
bythe
non-custodialparent(articles
163
et
167)
and
lasts
until
the
child
reaches
the
age
of
legal
majority,
whethermale
or
female.
Then,
the
child
may,
at
the
age
of
fifteen,
choose
which
of
his
or
her
parentswill
assume
custody
(article
166).
Overall,
the
introduced
reforms
of
family
laws
inMoroccoin2004
markedasignificantadvancementinwomen'srightswithinthefamily.Jordan.
Despite
social
and
political
resistance8
the
first
amendment
of
the
Personal
StatusLaw,
in
2001,
by
Royal
Decree,
introduced
notable
changes
including
raising
the
minimummarriage
age,
restricting
polygamy,
enhancing
custody
rights
for
women,
and
grantingthem
access
to
a
form
of
unilateral
divorce.
The
later
provision
was
deemed
ratherconservative
since
it
still
required
women
to
relinquish
some
or
all
their
financial
rights.The
amendment
still
failed
to
pass
in
parliament
in
2004
and
it
wasn’t
until
2010
that7Family
Codeof
February5,
2004.8Harris,Kelli
M.M.(2015):PersonalStatusCodeReforminJordan:
StateNegotiationsandWomen'sRightsintheCode.Washington:GeorgetownUniversity./bitstream/handle/10822/760898/Harris_georgetown_0076M_12957.pdf?sequence=1&isAllowed=y7Forlabororfordivorce?unilateral
divorce
was
passed
under
‘Tafriq
lil
iftida’
or
‘Iftida’
but
remained
subject
topayment
of
a
“ransom”
by
the
wife
in
exchange
for
marriage
dissolution
(JordanianPersonal
Status
Law,
section
4,
Article
114).
After
2010,
under
the
new
Personal
StatusLaw,
mothers
are
entitled
to
child
custody
until
the
youngest
child
reaches
the
age
of
15(article
126-127)
while
fathers
remain
sole
legal
guardians.
No
distinctions
are
madebetween
female
and
male
children
in
terms
of
custo
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