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Human Capital Convergence: A Joint Estimation Approach

  • Randa Sab

    (International Monetary Fund)

  • Stephen C. Smith

    (International Monetary Fund)

In the growth literature, evidence on convergence of per capita incomes is mixed. In the development literature, health and education indicators are often used to measure countries' development progress. This study examines whether average stocks of health and education are converging across countries and calculates the speed of their convergence using data from 84 countries for 1970-90. A three-stage least-squares (3SLS) procedure is used in a joint analysis of human capital convergence. The results confirm that investments in education and health are closely linked. The study finds unconditional convergence for life expectancy and infant survival, and for the stock of education as measured by average levels of total and secondary schooling in the adult population. Copyright 2002, International Monetary Fund

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Article provided by Palgrave Macmillan in its journal IMF Staff Papers.

Volume (Year): 49 (2002)
Issue (Month): 2 ()
Pages: 3

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Handle: RePEc:pal:imfstp:v:49:y:2002:i:2:p:3
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