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Want economic growth with good quality institutions? Spend on education

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  • Dawood Mamoon
  • S. Mansoob Murshed

Abstract

The purpose of this paper is to compare the role of human capital accumulation measured by number of years of schooling with the relative contribution of institutional capacity to prosperity. We employ several concepts of institutional quality prevalent in the literature. We discover that developing human capital is as important as superior institutional functioning for economic well-being. Indeed, the accumulation of human capital stocks via increased education might lead to improved institutional functioning, and the utilisation of policies like trade liberalisation.

Suggested Citation

  • Dawood Mamoon & S. Mansoob Murshed, 2009. "Want economic growth with good quality institutions? Spend on education," Education Economics, Taylor & Francis Journals, vol. 17(4), pages 445-468.
    • Handle: RePEc:taf:edecon:v:17:y:2009:i:4:p:445-468
    DOI: 10.1080/09645290801931782
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    Cited by:

    1. Kate Glazebrook & Ligang Song, 2013. "Is China up to the Test? A Review of Theories and Priorities for Education Investment for a Modern China," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 21(4), pages 56-78, July.
    2. Vij, Sumit & Narain, Vishal & Karpouzoglou, Timothy & Mishra, Pratik, 2018. "From the core to the periphery: Conflicts and cooperation over land and water in periurban Gurgaon, India," Land Use Policy, Elsevier, vol. 76(C), pages 382-390.
    3. Ferdi Botha, 2016. "The Good African Society Index," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 126(1), pages 57-77, March.
    4. Ngendakuriyo, Fabien & Zaccour, Georges, 2013. "Fighting corruption: To precommit or not?," Economics Letters, Elsevier, vol. 120(2), pages 149-154.
    5. Langsten, Ray & Hassan, Tahra, 2018. "Primary education completion in Egypt: Trends and determinants," International Journal of Educational Development, Elsevier, vol. 59(C), pages 136-145.
    6. Shazia Kousar & Farhan Ahmed & Muhammad Afzal & Juan E. Trinidad Segovia, 2023. "Is government spending in the education and health sector necessary for human capital development?," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-11, December.
    7. Yousra Mekdad & Aziz Dahmani & Monir Louadj, 2014. "Public spending on education and Economic Growth in Algeria: Causality Test," Proceedings of International Academic Conferences 0101002, International Institute of Social and Economic Sciences.
    8. Abugamea, Gaber, 2017. "The impact of Education on Economic Growth in Palestine: 1990-2014," MPRA Paper 89749, University Library of Munich, Germany, revised 0201.

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    More about this item

    Keywords

    growth; institutions; human capital;
    All these keywords.

    JEL classification:

    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • P36 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Consumer Economics; Health; Education and Training; Welfare, Income, Wealth, and Poverty
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education

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