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Quality-adjusted Human Capital and Productivity Growth

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  • Md. Rabiul Islam

Abstract

Both the quality and quantity of human capital are important for growth. Although the quality aspects of human capital may have greater potential in explaining growth, given that the quantity effects of human capital have been found to be ambiguous, they have long been ignored in empirical growth literature. This paper empirically tests the joint effects of both the quantity and quality of human capital in stimulating productivity growth for a panel of 89 countries over the period 1970-2007. Based on different measures of human capital quantity and quality, the results show that the growth effects of educational attainment can be significantly enhanced when the quality of schooling is improved. The joint effect of human capital quality and quantity is found to be stronger in developing countries.

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File URL: http://www.buseco.monash.edu.au/eco/research/papers/2010/4810qualityislam.pdf
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Bibliographic Info

Paper provided by Monash University, Department of Economics in its series Monash Economics Working Papers with number 48-10.

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Length: 58 pages
Date of creation: May 2010
Date of revision:
Handle: RePEc:mos:moswps:2010-48

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Postal: Department of Economics, Monash University, Victoria 3800, Australia
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Keywords: quantity; quality; human capital; growth; world;

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  1. Ana Hidalgo & Amparo Castelló-Climent, 2010. "Quality and Quantity of Education in the Process of Development," 2010 Meeting Papers 238, Society for Economic Dynamics.
  2. repec:chb:bcchwp:03 is not listed on IDEAS
  3. Caselli, Francesco & Esquivel, Gerardo & Lefort, Fernando, 1996. " Reopening the Convergence Debate: A New Look at Cross-Country Growth Empirics," Journal of Economic Growth, Springer, vol. 1(3), pages 363-89, September.
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