IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v11y2019i10p2923-d233549.html
   My bibliography  Save this article

Interaction between Higher Education Outputs and Industrial Structure Evolution: Evidence from Hubei Province, China

Author

Listed:
  • Dan He

    (Centre for Modern Chinese City Studies, East China Normal University, Shanghai 200241, China
    School of Urban and Regional Science, East China Normal University, Shanghai 200241, China)

  • Manxin Zheng

    (Centre for Modern Chinese City Studies, East China Normal University, Shanghai 200241, China
    School of Urban and Regional Science, East China Normal University, Shanghai 200241, China)

  • Wei Cheng

    (School of Urban and Regional Science, East China Normal University, Shanghai 200241, China)

  • Yui-yip Lau

    (Division of Business, Hong Kong Community College, The Hong Kong Polytechnic University, Hong Kong, China)

  • Qingmei Yin

    (School of Urban and Regional Science, East China Normal University, Shanghai 200241, China
    College of Architecture and Urban Planning, Tongji University, Shanghai 200092, China)

Abstract

In China, the government has made great achievements in mass higher education and intended to promote sustainable economic and social development. However, China still lacks innovation today and is trapped in its low-value-added industrial dilemma. Therefore, this paper aimed to understand how higher education outputs and industrial structure evolution affect each other by analysing evidence from Hubei, China, from 2004 to 2013. This paper quantified higher education outputs into graduate scale, education advancement, and innovation outputs and quantified industrial structure evolution into industrial structure upgrading and industrial structure rationalisation. Next, we applied the Granger causality test, vector auto-regression model, impulse response function, and variance decomposition to explore the causal relationships, response styles, and contribution rates between the indicators. The findings are as follows: (i) industrial structure upgrading and rationalisation are the Granger reasons for education advancement, and innovation outputs and graduate scale are the Granger reasons for industrial structure rationalisation; (ii) industrial structure upgrading and rationalisation can promote education advancement both quickly and significantly, however, education advancement, in turn, does not contribute to industrial structure evolution; (iii) though the contribution of innovation outputs to industrial structure rationalisation is hysteretic, it is greater than that of the graduate scale.

Suggested Citation

  • Dan He & Manxin Zheng & Wei Cheng & Yui-yip Lau & Qingmei Yin, 2019. "Interaction between Higher Education Outputs and Industrial Structure Evolution: Evidence from Hubei Province, China," Sustainability, MDPI, vol. 11(10), pages 1-19, May.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:10:p:2923-:d:233549
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/11/10/2923/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/11/10/2923/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Etzkowitz, Henry & Leydesdorff, Loet, 2000. "The dynamics of innovation: from National Systems and "Mode 2" to a Triple Helix of university-industry-government relations," Research Policy, Elsevier, vol. 29(2), pages 109-123, February.
    2. Sharma,Shalendra D., 2009. "China and India in the Age of Globalization," Cambridge Books, Cambridge University Press, number 9780521731362, January.
    3. Erik Hanushek & Stephen Machin & Ludger Woessmann (ed.), 2011. "Handbook of the Economics of Education," Handbook of the Economics of Education, Elsevier, edition 1, volume 4, number 4, June.
    4. Hanushek, Eric A. & Woessmann, Ludger, 2011. "The Economics of International Differences in Educational Achievement," Handbook of the Economics of Education, in: Erik Hanushek & Stephen Machin & Ludger Woessmann (ed.), Handbook of the Economics of Education, edition 1, volume 3, chapter 2, pages 89-200, Elsevier.
    5. Paola M. A. Paniccia & Silvia Baiocco, 2018. "Co-Evolution of the University Technology Transfer: Towards a Sustainability-Oriented Industry: Evidence from Italy," Sustainability, MDPI, vol. 10(12), pages 1-29, December.
    6. William MILBERG & Deborah WINKLER, 2011. "Economic and social upgrading in global production networks: Problems of theory and measurement," International Labour Review, International Labour Organization, vol. 150(3-4), pages 341-365, December.
    7. Meyer-Krahmer, Frieder & Schmoch, Ulrich, 1998. "Science-based technologies: university-industry interactions in four fields," Research Policy, Elsevier, vol. 27(8), pages 835-851, December.
    8. Yanjing Zhang & Zhengguo Su & Guan Li & Yuefei Zhuo & Zhongguo Xu, 2018. "Spatial-Temporal Evolution of Sustainable Urbanization Development: A Perspective of the Coupling Coordination Development Based on Population, Industry, and Built-Up Land Spatial Agglomeration," Sustainability, MDPI, vol. 10(6), pages 1-20, May.
    9. Loet Leydesdorff & Martin Meyer, 2003. "The Triple Helix of university-industry-government relations," Scientometrics, Springer;Akadémiai Kiadó, vol. 58(2), pages 191-203, October.
    10. He, Dan & Yin, Qingmei & Zheng, Manxin & Gao, Peng, 2019. "Transport and regional economic integration: Evidence from the Chang-Zhu-Tan region in China," Transport Policy, Elsevier, vol. 79(C), pages 193-203.
    11. Sampat, Bhaven N. & Mowery, David C. & Ziedonis, Arvids A., 2003. "Changes in university patent quality after the Bayh-Dole act: a re-examination," International Journal of Industrial Organization, Elsevier, vol. 21(9), pages 1371-1390, November.
    12. Vu, Tam Bang & Hammes, David L. & Im, Eric Iksoon, 2012. "Vocational or university education? A new look at their effects on economic growth," Economics Letters, Elsevier, vol. 117(2), pages 426-428.
    13. Tran Ngoc Ca, 2006. "Universities as drivers of the urban economies in Asia : the case of Vietnam," Policy Research Working Paper Series 3949, The World Bank.
    14. Peter Nolan, 2012. "Is China Buying the World?," Challenge, Taylor & Francis Journals, vol. 55(2), pages 108-118.
    15. Edward M. Bergman, 2010. "Knowledge links between European universities and firms: A review," Papers in Regional Science, Wiley Blackwell, vol. 89(2), pages 311-333, June.
    16. Sharma,Shalendra D., 2009. "China and India in the Age of Globalization," Cambridge Books, Cambridge University Press, number 9780521515719, January.
    17. Webber, Douglas A. & Ehrenberg, Ronald G., 2010. "Do expenditures other than instructional expenditures affect graduation and persistence rates in American higher education?," Economics of Education Review, Elsevier, vol. 29(6), pages 947-958, December.
    18. Eric A. Hanushek, 1979. "Conceptual and Empirical Issues in the Estimation of Educational Production Functions," Journal of Human Resources, University of Wisconsin Press, vol. 14(3), pages 351-388.
    19. Erik Hanushek & Stephen Machin & Ludger Woessmann (ed.), 2011. "Handbook of the Economics of Education," Handbook of the Economics of Education, Elsevier, edition 1, volume 3, number 3, June.
    20. Jiawei Wu & Yehua Dennis Wei & Qizhai Li & Feng Yuan, 2018. "Economic Transition and Changing Location of Manufacturing Industry in China: A Study of the Yangtze River Delta," Sustainability, MDPI, vol. 10(8), pages 1-28, July.
    21. Lee, Kye Woo & Chung, Miyeon, 2015. "Enhancing the link between higher education and employment," International Journal of Educational Development, Elsevier, vol. 40(C), pages 19-27.
    22. Peter K. Schott, 2004. "Across-Product Versus Within-Product Specialization in International Trade," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 119(2), pages 647-678.
    23. Pipkin, Seth & Fuentes, Alberto, 2017. "Spurred to Upgrade: A Review of Triggers and Consequences of Industrial Upgrading in the Global Value Chain Literature," World Development, Elsevier, vol. 98(C), pages 536-554.
    24. Benhabib, Jess & Spiegel, Mark M., 1994. "The role of human capital in economic development evidence from aggregate cross-country data," Journal of Monetary Economics, Elsevier, vol. 34(2), pages 143-173, October.
    25. Rentocchini, Francesco & D'Este, Pablo & Manjarrés-Henríquez, Liney & Grimaldi, Rosa, 2014. "The relationship between academic consulting and research performance: Evidence from five Spanish universities," International Journal of Industrial Organization, Elsevier, vol. 32(C), pages 70-83.
    26. Raphael Kaplinsky & Jeff Readman, 2005. "Globalization and upgrading: what can (and cannot) be learnt from international trade statistics in the wood furniture sector?," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 14(4), pages 679-703, August.
    27. Wright, Mike & Clarysse, Bart & Lockett, Andy & Knockaert, Mirjam, 2008. "Mid-range universities' linkages with industry: Knowledge types and the role of intermediaries," Research Policy, Elsevier, vol. 37(8), pages 1205-1223, September.
    28. Hojo, Masakazu, 2003. "An indirect effect of education on growth," Economics Letters, Elsevier, vol. 80(1), pages 31-34, July.
    29. Guangyou Zhou & Sumei Luo, 2018. "Higher Education Input, Technological Innovation, and Economic Growth in China," Sustainability, MDPI, vol. 10(8), pages 1-15, July.
    30. Kumar, Krishna B., 2003. "Education And Technology Adoption In A Small Open Economy: Theory And Evidence," Macroeconomic Dynamics, Cambridge University Press, vol. 7(4), pages 586-617, September.
    31. Cecile Batisse & Sandra Poncet, 2004. "Protectionism and Industry Location in Chinese Provinces," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 2(2), pages 133-154.
    32. Gereffi, Gary, 1999. "International trade and industrial upgrading in the apparel commodity chain," Journal of International Economics, Elsevier, vol. 48(1), pages 37-70, June.
    33. Ponte, Stefano & Ewert, Joachim, 2009. "Which Way is "Up" in Upgrading? Trajectories of Change in the Value Chain for South African Wine," World Development, Elsevier, vol. 37(10), pages 1637-1650, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhe Cheng & Tong Xiao & Chen Chen & Xiong Xiong, 2022. "Evaluation of Scientific Research in Universities Based on the Idea of Education for Sustainable Development," Sustainability, MDPI, vol. 14(4), pages 1-18, February.
    2. Xiaoxue Liu & Fuzhen Cao & Shuangshuang Fan, 2022. "Does Human Capital Matter for China’s Green Growth?—Examination Based on Econometric Model and Machine Learning Methods," IJERPH, MDPI, vol. 19(18), pages 1-27, September.
    3. Wang, Mei & Xu, Mi & Ma, Shaojun, 2021. "The effect of the spatial heterogeneity of human capital structure on regional green total factor productivity," Structural Change and Economic Dynamics, Elsevier, vol. 59(C), pages 427-441.
    4. Yui-Yip Lau & Cristina Dragomir & Yuk-Ming Tang & Adolf K. Y. Ng, 2021. "Maritime Undergraduate Students: Career Expectations and Choices," Sustainability, MDPI, vol. 13(8), pages 1-18, April.
    5. Yumin Shu & Zhongying Qi, 2020. "The Effect of Market-Oriented Government Fiscal Expenditure on the Evolution of Industrial Structure: Evidence from Shenzhen, China," Sustainability, MDPI, vol. 12(9), pages 1-17, May.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Altinok, Nadir & Aydemir, Abdurrahman, 2017. "Does one size fit all? The impact of cognitive skills on economic growth," Journal of Macroeconomics, Elsevier, vol. 53(C), pages 176-190.
    2. Caselli, Francesco & Ciccone, Antonio, 2013. "The contribution of schooling in development accounting: Results from a nonparametric upper bound," Journal of Development Economics, Elsevier, vol. 104(C), pages 199-211.
    3. Francesco Ferrante, 2017. "Assessing Quality in Higher Education: Some Caveats," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 131(2), pages 727-743, March.
    4. Gradstein, Mark & Brückner, Markus, 2013. "Income and schooling," CEPR Discussion Papers 9365, C.E.P.R. Discussion Papers.
    5. Stimpfle, Alexander & Stadelmann, David, 2015. "The Impact of Fundamental Development Factors on Different Income Groups: International Evidence," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113128, Verein für Socialpolitik / German Economic Association.
    6. Hanushek, Eric A., 2021. "Addressing cross-national generalizability in educational impact evaluation," International Journal of Educational Development, Elsevier, vol. 80(C).
    7. Choksy, Umair Shafi & Ayaz, Muhammad & Al-Tabbaa, Omar & Parast, Mahour, 2022. "Supplier resilience under the COVID-19 crisis in apparel global value chain (GVC): The role of GVC governance and supplier’s upgrading," Journal of Business Research, Elsevier, vol. 150(C), pages 249-267.
    8. José M. Cordero & Víctor Cristóbal & Daniel Santín, 2018. "Causal Inference On Education Policies: A Survey Of Empirical Studies Using Pisa, Timss And Pirls," Journal of Economic Surveys, Wiley Blackwell, vol. 32(3), pages 878-915, July.
    9. Gregorio Gimenez & Luis Vargas-Montoya, 2021. "ICT Use and Successful Learning: The Role of the Stock of Human Capital," Mathematics, MDPI, vol. 9(14), pages 1-15, July.
    10. Timothy G. Conley & Nirav Mehta & Ralph Stinebrickner & Todd Stinebrickner, 2024. "Social Interactions, Mechanisms, and Equilibrium: Evidence from a Model of Study Time and Academic Achievement," Journal of Political Economy, University of Chicago Press, vol. 132(3), pages 824-866.
    11. Eric A. Hanushek & Jacob D. Light & Paul E. Peterson & Laura M. Talpey & Ludger Woessmann, 2022. "Long-run Trends in the U.S. SES-Achievement Gap," Education Finance and Policy, MIT Press, vol. 17(4), pages 608-640, Fall.
    12. Eyles, Andrew & Machin, Stephen & McNally, Sandra, 2017. "Unexpected school reform: Academisation of primary schools in England," Journal of Public Economics, Elsevier, vol. 155(C), pages 108-121.
    13. Eric A. Hanushek & Guido Schwerdt & Ludger Woessmann & Lei Zhang, 2017. "General Education, Vocational Education, and Labor-Market Outcomes over the Lifecycle," Journal of Human Resources, University of Wisconsin Press, vol. 52(1), pages 48-87.
    14. Åsa Johansson, 2016. "Public Finance, Economic Growth and Inequality: A Survey of the Evidence," OECD Economics Department Working Papers 1346, OECD Publishing.
    15. Bos, J.W.B. & Van der Molen, M., 2012. "A bitter brew? Futures speculation and commodity prices," Research Memorandum 044, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
    16. Quentin Plantec & Benjamin Cabanes & Pascal Le Masson & Benoit Weil, 2021. "Market-Pull Or Research Push? Effects Of Research Orientations On University-Industry Collaborative Ph.D. Projects' Performances," Post-Print halshs-03190142, HAL.
    17. José Manuel Cordero Ferrera & Manuel Muñiz Pérez & Rosa Simancas Rodríguez, 2015. "The influence of socioeconomic factors on cognitive and non-cognitive educational outcomes," Investigaciones de Economía de la Educación volume 10, in: Marta Rahona López & Jennifer Graves (ed.), Investigaciones de Economía de la Educación 10, edition 1, volume 10, chapter 21, pages 413-438, Asociación de Economía de la Educación.
    18. Battistin, Erich & De Nadai, Michele & Vuri, Daniela, 2017. "Counting rotten apples: Student achievement and score manipulation in Italian elementary Schools," Journal of Econometrics, Elsevier, vol. 200(2), pages 344-362.
    19. Rodrigues, Luciana de Oliveira & Costa, Edward Martins & Silva, Vitor Hugo Miro Couto & Mariano, Francisca Zilania & Jesus Filho, Jaime de, 2020. "Nota Sobre Diferenças De Desempenho Entre Escolas Urbanas E Rurais No Brasil," Revista Brasileira de Economia - RBE, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil), vol. 74(4), December.
    20. Bernhard C. Dannemann, 2020. "Peer Effects in Secondary Education: Evidence from the 2015 Trends in Mathematics and Science Study Based on Homophily," Working Papers V-428-20, University of Oldenburg, Department of Economics, revised Feb 2020.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:11:y:2019:i:10:p:2923-:d:233549. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.