IDEAS home Printed from https://ideas.repec.org/a/rnd/arjebs/v4y2012i3p163-171.html
   My bibliography  Save this article

Does Human Capital Expedite Economic Development? The Case of Pakistan

Author

Listed:
  • Muhammad Tahir Mahmood

Abstract

The population merely is not a guarantee of the economic development of a country. The human capital increases the productivity of the workforce and develops the good working environment characterized by commitment and motivation. The low level of the human capital is viewed as one of the factors that may hinder the process of economic development in low developed countries. This conjecture seems working in Pakistan. This study is an endeavor to examine how human capital influences the economic development of Pakistan by using the time series data for the period (1971-2009). For the data analysis, the bound testing approach to co integration within the framework of the Autoregressive Distributed Lag (ARDL) was used. The empirical results of all the proxies of human capital except ‘expenditure on education’ supported the hypothesis.

Suggested Citation

  • Muhammad Tahir Mahmood, 2012. "Does Human Capital Expedite Economic Development? The Case of Pakistan," Journal of Economics and Behavioral Studies, AMH International, vol. 4(3), pages 163-171.
  • Handle: RePEc:rnd:arjebs:v:4:y:2012:i:3:p:163-171
    DOI: 10.22610/jebs.v4i3.313.g313
    as

    Download full text from publisher

    File URL: https://ojs.amhinternational.com/index.php/jebs/article/view/313/313
    Download Restriction: no

    File URL: https://ojs.amhinternational.com/index.php/jebs/article/view/313
    Download Restriction: no

    References listed on IDEAS

    as
    1. Zeshan Atique & Mohsin Hasnain Ahmad & Usman Azhar, 2004. "The Impact of FDI on Economic Growth under Foreign Trade Regimes: A Case Study of Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 43(4), pages 707-718.
    2. Jarita Duasa, 2007. "Determinants of Malaysian Trade Balance: An ARDL Bound Testing Approach," Global Economic Review, Taylor & Francis Journals, vol. 36(1), pages 89-102.
    3. Robert J. Barro, 1991. "Economic Growth in a Cross Section of Countries," The Quarterly Journal of Economics, Oxford University Press, vol. 106(2), pages 407-443.
    4. Qaisar Abbas, 2001. "Endogenous Growth and Human Capital: A Comparative Study of Pakistan and Sri Lanka," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 40(4), pages 987-1007.
    5. Zafar Iqbal & Ghulam Mustafa Zahid, 1998. "Macroeconomic Determinants of Economic Growth in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(2), pages 125-148.
    6. Borensztein, E. & De Gregorio, J. & Lee, J-W., 1998. "How does foreign direct investment affect economic growth?1," Journal of International Economics, Elsevier, vol. 45(1), pages 115-135, June.
    7. Fung, K.C. & Iizaka, Hitomi & Siu, Alan, 2004. "Integrating the two Asian economic giants: Japanese multinational corporations in China," Journal of Asian Economics, Elsevier, vol. 15(5), pages 957-975, October.
    8. Kevin Honglin Zhang, 2001. "How does foreign direct investment affect economic growth in China?," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 9(3), pages 679-693, November.
    9. Romer, Paul M, 1990. "Endogenous Technological Change," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 71-102, October.
    10. Muhammad Arshad Khan, 2007. "Foreign Direct Investment and Economic Growth : The Role of Domestic Financial Sector," Finance Working Papers 22205, East Asian Bureau of Economic Research.
    11. Noorbakhsh, Farhad & Paloni, Alberto & Youssef, Ali, 2001. "Human Capital and FDI Inflows to Developing Countries: New Empirical Evidence," World Development, Elsevier, vol. 29(9), pages 1593-1610, September.
    12. Rebelo, Sergio, 1991. "Long-Run Policy Analysis and Long-Run Growth," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 500-521, June.
    13. Shiva S. Makki & Agapi Somwaru, 2004. "Impact of Foreign Direct Investment and Trade on Economic Growth: Evidence from Developing Countries," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(3), pages 795-801.
    14. Benhabib, Jess & Spiegel, Mark M., 1994. "The role of human capital in economic development evidence from aggregate cross-country data," Journal of Monetary Economics, Elsevier, vol. 34(2), pages 143-173, October.
    15. Nancy Birdsall & David Ross & Richard Sabot, 1993. "Underinvestment in Education: How Much Growth has Pakistan Foregone?," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 32(4), pages 453-499.
    16. V. N. Balasubramanyam & M. Salisu & David Sapsford, 1999. "Foreign direct investment as an engine of growth," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 8(1), pages 27-40.
    17. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
    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. repec:rnd:arjebs:v:5:y:2013:i:10:p:718-729 is not listed on IDEAS

    More about this item

    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:rnd:arjebs:v:4:y:2012:i:3:p:163-171. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Muhammad Tayyab). General contact details of provider: https://ojs.amhinternational.com/index.php/jebs .

    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 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.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.