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Human Capital Quality and Economic Growth
[Kvalita lidského kapitálu a ekonomický růst]

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  • Rudolf Kubík

Abstract

The topic of the relationship between human capital and economic growth has been intensively examined in empirical studies since the 1980s. Although the positive impact of education and human capital on growth has been repeatedly confirmed, there are still doubts about the strength and probable inverse causality of the relationship. The quality of human capital is frequently mentioned in the empirical literature as an important factor which can help to understand and properly determine the link. The quality of human capital is a key focus of this paper. It tests and confirms the hypothesis that the quality is an important factor which significantly influences the intensity of the relationship. The main hypothesis has been tested using the dynamic panel data technique (GMM estimation) on panel data covering 65 countries in 1960-2005. It has been confirmed that the years of schooling have a higher positive impact on economic growth in countries with a higher quality of education.

Suggested Citation

  • Rudolf Kubík, 2013. "Human Capital Quality and Economic Growth [Kvalita lidského kapitálu a ekonomický růst]," Acta Oeconomica Pragensia, Prague University of Economics and Business, vol. 2013(1), pages 3-12.
    • Handle: RePEc:prg:jnlaop:v:2013:y:2013:i:1:id:389:p:3-12
    DOI: 10.18267/j.aop.389
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    References listed on IDEAS

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    1. Eric Hanushek & Ludger Woessmann, 2012. "Do better schools lead to more growth? Cognitive skills, economic outcomes, and causation," Journal of Economic Growth, Springer, vol. 17(4), pages 267-321, December.
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Human capital; economic growth; quality of schooling; GMM estimation; dynamic panel data models;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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