Do economic reforms and human capital explain post-reform growth?
By employing a conventional production function, this study advances theoretical and empirical research on the role of economic reforms and human capital on the post-reform economic growth. We construct two unique indices - a composite economic reform index and a human capital index - to perform a comparative analysis of a panel data model and to demonstrate that human capital and economic reforms have had a significant positive effect on economic growth in India and South Korea in the post-reform period. This positive effect is revealed in both contemporaneous and lagged estimations. The impact of reforms is found to be much stronger in South Korea than in India. This study also demonstrates the importance of time-invariant country-specific characteristics, and suggests that policies aimed to improve human capital accumulation have complementary effects on the efficacy of economic reforms.
Volume (Year): 4 (2011)
Issue (Month): 1 ()
|Contact details of provider:|| Web page: http://www.tandfonline.com/REME20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/REME20|
When requesting a correction, please mention this item's handle: RePEc:taf:macfem:v:4:y:2011:i:1:p:9-34. 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: (Michael McNulty)
If references are entirely missing, you can add them using this form.