IDEAS home Printed from https://ideas.repec.org/p/pes/wpaper/2016no23.html
   My bibliography  Save this paper

Quality of Human Capital and Total Factor Productivity in New European Union Members States

Author

Listed:
  • Michal Bernard Pietrzak

    (Nicolaus Copernicus University, Poland)

  • Adam P. Balcerzak

    (Nicolaus Copernicus University, Poland)

Abstract

Closing development gap and avoiding middle income trap are currently considered as the main challenges for the new EU member states. To obtain both those aims the countries must implement policies that support total factor productivity (TFP) growth. The main scientific purpose of the article is to examine the influence of quality of human capital (QHC) on TFP in Central European countries in the years 2000-2010. All the EU countries must be able compete internationally in reality of global knowledge economy. Thus, the QHC was analysed from the perspective of the knowledge-based economy. As the QHC is a multidimensional phenomenon in order to measure it and obtain time series for further econometric research, TOPSIS method was applied. To evaluate TFP the parameters of the Cobb-Douglas production function for the new EU members were estimated. Finally, it was possible to identify the relationship between the QHC and the level of TFP with application of dynamic panel model. The analysis was conducted for the years 2000-2010 based on Eurostat data. It confirmed a significant influence of the QHC on the level of TFP in the new EU members states.

Suggested Citation

  • Michal Bernard Pietrzak & Adam P. Balcerzak, 2016. "Quality of Human Capital and Total Factor Productivity in New European Union Members States," Working Papers 23/2016, Institute of Economic Research, revised May 2016.
    • Handle: RePEc:pes:wpaper:2016:no23
    as

    Download full text from publisher

    File URL: http://www.badania-gospodarcze.pl/images/Working_Papers/2016_No_23.pdf
    File Function: First version, 2016
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Adam P. Balcerzak & Michal Bernard Pietrzak, 2016. "Structural Equation Modeling in Evaluation of Technological Potential of European Union Countries in the years 2008-2012," Chapters, in: Monika Papiez & Slawomir Smiech (ed.),The 10th Professor Aleksander Zelias International Conference on Modelling and Forecasting of Socio-Economic Phenomena. Conference Proceedings, edition 1, volume 1, chapter 1, pages 9-18, Institute of Economic Research.
    2. Adam P. Balcerzak & Michal Bernard Pietrzak, 2016. "Dynamic Panel Analysis of Influence of Quality of Human Capital on Total Factor Productivity in Old European Union Countries," Working Papers 19/2016, Institute of Economic Research, revised May 2016.
    3. Gehringer, Agnieszka & Martínez-Zarzoso, Inmaculada & Nowak-Lehmann Danzinger, Felicitas, 2014. "TFP estimation and productivity drivers in the European Union," University of Göttingen Working Papers in Economics 189, University of Goettingen, Department of Economics.
    4. Malgorzata Madrak-Grochowska, 2015. "The Knowledge-Based Economy As A Stage In The Development Of The Economy," Oeconomia Copernicana, Institute of Economic Research, vol. 6(2), pages 7-21, June.
    5. Adam P. Balcerzak & Michal Bernard Pietrzak, 2014. "Are New EU Member States Improving Their Institutional Effectiveness for Global Knowledge-based Economy? TOPSIS Analysis for the Years 2000-2010," Working Papers 16/2014, Institute of Economic Research, revised Nov 2014.
    6. Michael C Burda & Battista Severgnini, 2009. "TFP Growth in Old and New Europe," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 51(4), pages 447-466, December.
    7. Elzbieta Janton-Drozdowska & Maria Majewska, 2015. "Social capital as a key driver of productivity growth of the economy: across-countries comparison," Working Papers 132/2015, Institute of Economic Research, revised May 2015.
    8. Michal Bernard Pietrzak & Justyna Wilk, 2013. "The impact of metropolitan areas on internal migrations in Poland. The case of southern regions," Working Papers 24/2013, Institute of Economic Research, revised Jul 2013.
    9. Adam P. Balcerzak, 2016. "Multiple-criteria Evaluation of Quality of Human Capital in the European Union Countries," Working Papers 18/2016, Institute of Economic Research, revised May 2016.
    10. Michal Bernard Pietrzak & Adam P. Balcerzak, 2016. "Assessment of Socio-Economic Sustainability in New European Union Members States in the years 2004-2012," Chapters, in: Monika Papiez & Slawomir Smiech (ed.),The 10th Professor Aleksander Zelias International Conference on Modelling and Forecasting of Socio-Economic Phenomena. Conference Proceedings, edition 1, volume 1, chapter 13, pages 120-129, Institute of Economic Research.
    11. Scanlon, Kathleen & Fernández Arrigoitia, Melissa & Whitehead, Christine M E, 2015. "Social housing in Europe," LSE Research Online Documents on Economics 62938, London School of Economics and Political Science, LSE Library.
    12. ., 2015. "Conceptual explanation of European Union law," Chapters, in: Understanding the Nature of Law, chapter 6, pages 135-160, Edward Elgar Publishing.
    13. Adam P. Balcerzak, 2015. "Europe 2020 Strategy and Structural Diversity Between Old and New Member States. Application of zero-unitarizatin method for dynamic analysis in the years 2004-2013," Working Papers 122/2015, Institute of Economic Research, revised Apr 2015.
    14. ., 2015. "Smart specialisation and European regions," Chapters, in: The Regional and Urban Policy of the European Union, chapter 6, pages 160-199, Edward Elgar Publishing.
    15. Adam P. Balcerzak & Michal Bernard Pietrzak, 2014. "Efektywnosc instytucjonalna krajow Unii Europejskiej w kontekscie globalnej gospodarki opartej na wiedzy," Working Papers 17/2014, Institute of Economic Research, revised Nov 2014.
    16. Michal Bernard Pietrzak & Justyna Wilk & Tomasz Kossowski & Roger Bivand, 2013. "The identification of spatial dependence in the analysis of regional economic development – join-count test application, IER Working Papers, 2013, No. 30," Working Papers 30/2013, Institute of Economic Research, revised Jul 2013.
    17. Elzbieta Janton-Drozdowska & Maria Majewska, 2015. "Social Capital As A Key Driver Of Productivity Growth Of The Economy: Across-Countries Comparison," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 10(4), pages 61-83, December.
    18. Shekhar Aiyar & Carl-Johan Dalgaard, 2005. "Total Factor Productivity Revisited: A Dual Approach to Development Accounting," IMF Staff Papers, Palgrave Macmillan, vol. 52(1), pages 82-102, April.
    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. Adam P. Balcerzak & Michal Bernard Pietrzak, 2016. "Dynamic Panel Analysis of Influence of Quality of Human Capital on Total Factor Productivity in Old European Union Countries," Working Papers 19/2016, Institute of Economic Research, revised May 2016.

    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. Adam P. Balcerzak & Michal Bernard Pietrzak, 2016. "Dynamic Panel Analysis of Influence of Quality of Human Capital on Total Factor Productivity in Old European Union Countries," Working Papers 19/2016, Institute of Economic Research, revised May 2016.
    2. Michal Bernard Pietrzak, 2016. "The Problem of the Inclusion of Spatial Dependence Within the TOPSIS Method," Montenegrin Journal of Economics, Economic Laboratory for Transition Research (ELIT), vol. 12(3), pages 69-86.
    3. Michał Bernard Pietrzak & Adam P. Balcerzak, 2016. "Quality of Institutions and Total Factor Productivity in the European Union," Statistics in Transition new series, Główny Urząd Statystyczny (Polska), vol. 17(3), pages 497-514, September.
    4. Adam P. Balcerzak, 2016. "Technological Potential of European Economy. Proposition of Measurement with Application of Multiple Criteria Decision Analysis," Montenegrin Journal of Economics, Economic Laboratory for Transition Research (ELIT), vol. 12(3), pages 7-17.
    5. Göbel, Christine & Teitscheid, Petra & Friedrich, Silke & Langen, Nina & Speck, Melanie & Engelmann, Tobias & Rohn, Holger, 2017. "Implementing Sustainable Business Models in the Hospitality Sector with the Help of a Mission Statement," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 8(2), March.
    6. Adam P. Balcerzak & Michał Bernard Pietrzak, 2015. "Quality of Institutions for Global Knowledge-based Economy and Convergence Process in the European Union," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 42.
    7. Göbel, Christine & Teitscheid, Petra & Friedrich, Silke & Langen, Nina & Speck, Melanie & Engelmann, Tobias & Rohn, Holger, 2017. "Implementing Sustainable Business Models in the Hospitality Sector with the Help of a Mission Statement," 2018 International European Forum (163rd EAAE Seminar), February 5-9, 2018, Innsbruck-Igls, Austria 276926, International European Forum on System Dynamics and Innovation in Food Networks.
    8. Anselmsson, Johan, 2016. "Effects of shopping centre re-investments and improvements on sales and visit growth," Journal of Retailing and Consumer Services, Elsevier, vol. 32(C), pages 139-150.
    9. Younghyeon Jeon & Byeong-il Ahn, 2017. "Effects of a Tariff Reduction on Grain Self-Sufficiency: Evidence from Country-Level Panel Data," Sustainability, MDPI, vol. 9(10), pages 1-14, October.
    10. Veronika Flegar & María Dalli & Brigit Toebes, 2016. "Access to Preventive Health Care for Undocumented Migrants: A Comparative Study of Germany, The Netherlands and Spain from a Human Rights Perspective," Laws, MDPI, vol. 5(1), pages 1-22, February.
    11. Nunes, J. & Silva, Pedro D. & Andrade, L.P. & Gaspar, Pedro D., 2016. "Key points on the energy sustainable development of the food industry – Case study of the Portuguese sausages industry," Renewable and Sustainable Energy Reviews, Elsevier, vol. 57(C), pages 393-411.
    12. Balcerzak Adam P. & Pietrzak Michał Bernard, 2016. "Quality of Institutions and Total Factor Productivity in the European Union," Statistics in Transition New Series, Polish Statistical Association, vol. 17(3), pages 497-514, September.
    13. Eraslan, Sercan, 2016. "Safe-haven demand for housing in London," Economic Modelling, Elsevier, vol. 58(C), pages 482-493.
    14. Justyna Łapińska & Iwona Escher & Joanna Górka & Agata Sudolska & Paweł Brzustewicz, 2021. "Employees’ Trust in Artificial Intelligence in Companies: The Case of Energy and Chemical Industries in Poland," Energies, MDPI, vol. 14(7), pages 1-20, April.
    15. Adam P. Balcerzak & Michal Bernard Pietrzak, 2015. "Research and development expenditures and quality of life in European Union countries," Ekonomia i Prawo, Uniwersytet Mikolaja Kopernika, vol. 14(3), pages 285-302, September.
    16. Dariusz Fatula, 2018. "Selected micro- and macroeconomic conditions of wages, income and labor productivity in Poland and other European Union countries," Contemporary Economics, University of Economics and Human Sciences in Warsaw., vol. 12(1), March.
    17. Mateusz Borkowski, 2023. "Social Capital and Economic Development: PLS-SEM Model," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 2, pages 11-27.
    18. Zoran Boroviæ & Mladen Rebiæ & Dalibor Tomaš, 2020. "Total factor productivity drivers in the selected EU countries: Cointegration approach," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 38(1), pages 295-315.
    19. Tomas Meluzin & Marek Zinecker, 2016. "Trends In Ipos: The Evidence From Cee Capital Markets," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 11(2), pages 327-341, June.
    20. Anna Tatarczak & Oleksandra Boichuk, 2018. "The multivariate techniques in evaluation of unemployment analysis of Polish regions," Oeconomia Copernicana, Institute of Economic Research, vol. 9(3), pages 361-380, September.

    More about this item

    Keywords

    multiple-criteria decision analysis (MCDA); TOPSIS method; panel model; TFP; human capital; new EU members;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • C38 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Classification Methdos; Cluster Analysis; Principal Components; Factor Analysis
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:pes:wpaper:2016:no23. 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: Adam P. Balcerzak (email available below). General contact details of provider: https://edirc.repec.org/data/ibgtopl.html .

    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.