Government bias in education, schooling attainment and growth
AbstractA surprising cross country stylized fact is that a higher public spending on education tends to lower the long run per capita growth rate and schooling returns. This is contrary to the conventional wisdom that education is a major driver of growth. In this paper, we revisit this issue and try to understand these puzzling facts in terms of an endogenous growth model. Our cross country calibration of the growth model predicts that countries with a greater government involvement in education experience lower schooling efforts and lower growth.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 31791.
Date of creation: 02 Mar 2011
Date of revision:
endogenous growth; public spending on education;
Find related papers by JEL classification:
- E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
- N10 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - General, International, or Comparative
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-07-02 (All new papers)
- NEP-DGE-2011-07-02 (Dynamic General Equilibrium)
- NEP-EDU-2011-07-02 (Education)
- NEP-LAB-2011-07-02 (Labour Economics)
- NEP-MAC-2011-07-02 (Macroeconomics)
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