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Health, education, and economic growth in East Asia

Author

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  • Hongyi Li
  • Huang Liang

Abstract

Purpose - The purpose of this paper is to examine empirically the sources of economic growth based on an augmented Mankiw, Romer, and Weil's model which considers human capital in the forms of both health and education for a group of East Asian economies including China. Design/methodology/approach - Empirical results are based on the analysis of a panel dataset from 1961 to 2007. Sub-sample estimation for the post-1997 Asian Financial Crisis period is also considered for comparison purposes. Findings - The impact of the stock of health and education on economic growth is statistically significant for both the whole sample and sub-sample period. However, the impact of investment in education on economic growth is a little “fragile”. The statistical results show that the statistical impact of health on economic growth is stronger than that of education. It seems that it is more plausible for the policymakers in East Asia to invest more in health than educational human capital. Originality/value - This paper is one of the first empirical studies to analyze the effect of human capital in the form of both health and education on economic growth in East Asia.

Suggested Citation

  • Hongyi Li & Huang Liang, 2010. "Health, education, and economic growth in East Asia," Journal of Chinese Economic and Foreign Trade Studies, Emerald Group Publishing, vol. 3(2), pages 110-131, June.
  • Handle: RePEc:eme:ceftpp:v:3:y:2010:i:2:p:110-131
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Hüseyin Sen & Ayse Kaya & Baris Alpaslan, 2015. "Education, Health, and Economic Growth Nexus: A Bootstrap Panel Granger Causality Analysis for Developing Countries," The School of Economics Discussion Paper Series 1502, Economics, The University of Manchester.
    2. Menashy, Francine & Dryden-Peterson, Sarah, 2015. "The Global Partnership for Education’s evolving support to fragile and conflict-affected states," International Journal of Educational Development, Elsevier, vol. 44(C), pages 82-94.
    3. Bruns, Stephan B. & Gross, Christian, 2013. "What if energy time series are not independent? Implications for energy-GDP causality analysis," Energy Economics, Elsevier, vol. 40(C), pages 753-759.
    4. Stephan B. Bruns, Christian Gross and David I. Stern, 2014. "Is There Really Granger Causality Between Energy Use and Output?," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4).
    5. repec:kap:enreec:v:69:y:2018:i:1:d:10.1007_s10640-016-0071-x is not listed on IDEAS
    6. Biswajit Maitra & C.K. Mukhopadhyay, 2012. "Public spending on education, health care and economic growth in selected countries of Asia and the Pacific," Asia-Pacific Development Journal, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), vol. 19(2), pages 19-48, December.
    7. Chakravarty, Sugato & Pylypiv, Mariya I., 2015. "The Role of Subsidization and Organizational Status on Microfinance Borrower Repayment Rates," World Development, Elsevier, vol. 66(C), pages 737-748.
    8. Eyup Dogan, 2016. "The Relationship between Economic Growth, Energy Consumption and Trade," Bulletin of Energy Economics (BEE), The Economics and Social Development Organization (TESDO), vol. 4(1), pages 70-80, March.
    9. Barnes, Andrew J. & Unruh, Lynn & Chukmaitov, Askar & van Ginneken, Ewout, 2014. "Accountable care organizations in the USA: Types, developments and challenges," Health Policy, Elsevier, vol. 118(1), pages 1-7.

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