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Human capital formation and US economic growth: a causality analysis

Author

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  • Francis In
  • Chris Doucouliagos

Abstract

In this paper, Granger causality tests are applied to a new data set on human capital formation and US private sector GDP. The study is the first to test for causality between human capital formation and economic growth. It employs an error correction mechanism and is estimated through canonical cointegration regression. The results show strong evidence of casuality from human capital formation to private sector GDP and vice versa.

Suggested Citation

  • Francis In & Chris Doucouliagos, 1997. "Human capital formation and US economic growth: a causality analysis," Applied Economics Letters, Taylor & Francis Journals, vol. 4(5), pages 329-331.
    • Handle: RePEc:taf:apeclt:v:4:y:1997:i:5:p:329-331
    DOI: 10.1080/758532603
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    Cited by:

    1. Ganegodage, Renuka K. & Taniguchi, Kiyoshi & Wang, Xiaojun, 2003. "Learning by eating: A case study on the cost of hunger in Sri Lanka," ESA Working Papers 289094, Food and Agriculture Organization of the United Nations, Agricultural Development Economics Division (ESA).
    2. Hüseyin ŞEN & Ayşe KAYA & Barış ALPASLAN, 2018. "Education, Health, and Economic Growth Nexus: A Bootstrap Panel Granger Causality Analysis for Developing Countries," Sosyoekonomi Journal, Sosyoekonomi Society.
    3. Khan, Jangraiz & Khattak, Naeem Ur Rehman Khattak & Khan, Amir, 2015. "Human Capital-Economic Growth Nexus: A Causality Analysis for Pakistan," MPRA Paper 65689, University Library of Munich, Germany.
    4. Andersson, Björn, 1999. "On the Causality Between Saving and Growth: Long- and Short-Run Dynamics and Country Heterogeneity," Working Paper Series 1999:18, Uppsala University, Department of Economics.
    5. Henryk Gurgul & Łukasz Lach & Roland Mestel, 2012. "The relationship between budgetary expenditure and economic growth in Poland," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 20(1), pages 161-182, March.
    6. Hüseyin Sen & Ayse Kaya & Baris Alpaslan, 2015. "Education, Health, and Economic Growth Nexus: A Bootstrap Panel Granger Causality Analysis for Developing Countries," Economics Discussion Paper Series 1502, Economics, The University of Manchester.
    7. Gurgul, Henryk & Lach, Łukasz, 2011. "Causality analysis between public expenditure and economic growth of Polish economy in last decade," MPRA Paper 52281, University Library of Munich, Germany.

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