Intelligence, Human Capital, and Economic Growth: An Extreme Bounds Analysis
Human capital plays an important role in the theory of economic growth, but it has been difficult to measure this abstract concept. We survey the psychological literature on cross-cultural IQ tests, and conclude that modern intelligence tests are well-suited for measuring an important form of a nationâ€™s human capital. Using a new database compiled by Lynn and Vanhanen (2002), we show that national average IQ has a robust positive relationship with economic growth. Using a methodology derived from Sala-i-Martin (1997a), we show that in growth regressions that include only robust control variables, IQ is statistically significant in 99.7% of these 1330 regressions. A strong relationship persists even when OECD countries are excluded from the sample. Conditional on GDP per capita in 1960 and other control variables, a 1 point increase in a nationâ€™s average IQ is associated with a persistent 0.13% annual increase in GDP per capita
|Date of creation:||11 Aug 2004|
|Contact details of provider:|| Phone: 1 212 998 3820|
Fax: 1 212 995 4487
Web page: http://www.econometricsociety.org/pastmeetings.asp
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- N. Gregory Mankiw & David Romer & David N. Weil, 1992.
"A Contribution to the Empirics of Economic Growth,"
The Quarterly Journal of Economics,
Oxford University Press, vol. 107(2), pages 407-437.
- Jerik Hanushek & Dennis Kimko, 2006.
"Schooling, Labor-force Quality, and the Growth of Nations,"
Higher School of Economics, issue 1, pages 154-193.
- Dennis D. Kimko & Eric A. Hanushek, 2000. "Schooling, Labor-Force Quality, and the Growth of Nations," American Economic Review, American Economic Association, vol. 90(5), pages 1184-1208, December.
- Barro, Robert J. & Lee, Jong-Wha, 1993.
"International comparisons of educational attainment,"
Journal of Monetary Economics,
Elsevier, vol. 32(3), pages 363-394, December.
- Robert J. Barro & Jong-Wha Lee, 1993. "International Comparisons of Educational Attainment," NBER Working Papers 4349, National Bureau of Economic Research, Inc.
- Leamer, Edward E, 1985. "Sensitivity Analyses Would Help," American Economic Review, American Economic Association, vol. 75(3), pages 308-313, June.
- Sala-i-Martin, Xavier, 1997.
"I Just Ran Two Million Regressions,"
American Economic Review,
American Economic Association, vol. 87(2), pages 178-183, May.
- Kevin D. Hoover & Stephen J. Perez, "undated".
"Truth and Robustness in Cross-country Growth Regressions,"
Department of Economics
01-01, California Davis - Department of Economics.
- Kevin D. Hoover & Stephen J. Perez, 2004. "Truth and Robustness in Cross-country Growth Regressions," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 66(5), pages 765-798, December.
- Kevin Hoover & Harris Dellas, 2003. "Truth and Robustness in Cross-country Growth Regressions," Working Papers 11, University of California, Davis, Department of Economics.
- Eric A. Hanushek & Dongwook Kim, 1995. "Schooling, Labor Force Quality, and Economic Growth," NBER Working Papers 5399, National Bureau of Economic Research, Inc.
- Weede, Erich & Kampf, Sebastian, 2002. "The Impact of Intelligence and Institutional Improvements on Economic Growth," Kyklos, Wiley Blackwell, vol. 55(3), pages 361-380.
- Edward E. Leamer, 1982.
"Let's Take the Con Out of Econometrics,"
UCLA Economics Working Papers
239, UCLA Department of Economics.
When requesting a correction, please mention this item's handle: RePEc:ecm:latm04:156. 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: (Christopher F. Baum)
If references are entirely missing, you can add them using this form.