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Dynamic Links between the Economy and Human Development

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  • Gustav Ranis
  • Frances Stewart

Abstract

This paper empirically confirms the significance of various links in each of two chains over time: from economic growth (EG) to human development (HD), including EG itself, income distribution, the social expenditure ratio and female education; from HD to EG, including HD itself, along with the investment ratio. Our most important conclusion concerns sequencing over time. EG, which is an important input into HD improvement, is itself not sustainable without such improvement, either prior or simultaneous. Therefore, traditional policy advice, which argues that HD improvements must wait until EG expansion makes it affordable, is likely to be in error.

Suggested Citation

  • Gustav Ranis & Frances Stewart, 2005. "Dynamic Links between the Economy and Human Development," Working Papers 8, United Nations, Department of Economics and Social Affairs.
    • Handle: RePEc:une:wpaper:8
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    References listed on IDEAS

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    Cited by:

    1. Ewa Lechman, 2013. "Social development – a multidimensional approach to social development analysis. Country level evidence," GUT FME Working Paper Series A 2, Faculty of Management and Economics, Gdansk University of Technology.
    2. Isabel Ortiz, 2007. "Social Policy," Policy Notes 6, United Nations, Department of Economics and Social Affairs.
    3. Ewa Lechman, 2012. "Technology convergence and digital divides. A country-level evidence for the period 2000–2010," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 31.
    4. Susan Randolph & Elizabeth Kaletski, 2018. "Securing Economic and Social Rights: Obstacle or Handmaiden to Growth?," Economic Rights Working Papers 26, University of Connecticut, Human Rights Institute.
    5. Serdar Ozturk & Seher Suluk, 2020. "The granger causality relationship between human development and economic growth: The case of Norway," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 9(6), pages 143-153, October.
    6. Yusuke Kamiya, 2010. "Determinants of Health in Developing Countries:Cross-Country Evidence," OSIPP Discussion Paper 10E009, Osaka School of International Public Policy, Osaka University.
    7. Ewa, Lechman, 2012. "Social development – a multidimensional approach to social development analysis. Country level evidence for year 2011," MPRA Paper 41812, University Library of Munich, Germany.
    8. Ewa, Lechman, 2012. "Cross national technology convergence. An empirical study for the period 2000-2010," MPRA Paper 37442, University Library of Munich, Germany.
    9. Wang, Zhaohua & Bui, Quocviet & Zhang, Bin & Nawarathna, Chulan Lasantha K. & Mombeuil, Claudel, 2021. "The nexus between renewable energy consumption and human development in BRICS countries: The moderating role of public debt," Renewable Energy, Elsevier, vol. 165(P1), pages 381-390.
    10. Saksena, Shalini & Deb, Moumita, 2016. "Transition pattern of Indian states across different categories of growth and development: Post economic liberalisation experience," Business and Economic Horizons (BEH), Prague Development Center (PRADEC), vol. 12(3).
    11. Łukasz Goczek, 2011. "International Openness and Social Development as Endogenous Determinants of Growth," Working Papers 2011-22, Faculty of Economic Sciences, University of Warsaw.
    12. Rossana Guerra Sousa & Edilson Paulo & João Marôco, 2017. "Longitudinal Factor Analysis of Public Expenditure Composition and Human Development in Brazil After the 1988 Constitution," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 134(3), pages 1009-1026, December.
    13. Neamtu Daniela-Mihaela & Ciobanu Oana-Georgiana, 2015. "Correlations Between Human Development And Economic Growth," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 1, pages 118-122, January.
    14. Wang, Zhaohua & Bui, Quocviet & Zhang, Bin, 2020. "The relationship between biomass energy consumption and human development: Empirical evidence from BRICS countries," Energy, Elsevier, vol. 194(C).
    15. Saksena, Shalini & Deb, Moumita, 2016. "Economic Growth and Human Development in Indian States after two decades of Economic Reforms," MPRA Paper 71128, University Library of Munich, Germany, revised 05 Mar 2016.
    16. Andrzej Cieslik & Jan Jakub Michalek & Jerzy Mycielski, 2012. "Social Development And International Trade In Central Europe," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 7(2), pages 7-19, June.
    17. Md. Saiful Islam, 2020. "Human Capital and Per Capita Income Linkage in South Asia: A Heterogeneous Dynamic Panel Analysis," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 11(4), pages 1614-1629, December.
    18. Graafland, J.J., 2008. "Market operation and distributive justice: An evaluation of the ACCRA confession," MPRA Paper 20276, University Library of Munich, Germany.
    19. Illien, Patrick & Bieri, Sabin, 2024. "Political settlements analysis and the study of pro-poor development: Laos and Rwanda compared," World Development, Elsevier, vol. 181(C).
    20. Ortiz, Isabel, 2007. "Politica Social [Social Policy]," MPRA Paper 35162, University Library of Munich, Germany.
    21. Javier Bilbao-Ubillos, 2013. "Another Approach to Measuring Human Development: The Composite Dynamic Human Development Index," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 111(2), pages 473-484, April.
    22. Chaudhary, Amatul R. & Chani, Muhammad Irfan & Pervaiz, Zahid, 2012. "An analysis of different approaches to women empowerment: a case study of Pakistan," MPRA Paper 37784, University Library of Munich, Germany.
    23. Sangaran Vijesandiran & Priyatharsiny Selvarasa, 2018. "Effects Of Fiscal Policy On Human Development In Sri Lanka: An Empirical Analysis," Journal of Smart Economic Growth, , vol. 3(3), pages 1-36, December.

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    More about this item

    Keywords

    human development; economic growth; comparative country studies;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O50 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - General

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