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A Note to Schooling in Development Accounting

Author

Listed:
  • Caselli, Francesco

    (London School of Economics)

  • Ciccone, Antonio

    (Pompeu Fabra University)

Abstract

How much would output increase if underdeveloped economies were to increase their levels of schooling? We contribute to the development accounting literature by describing a nonparametric upper bound on the increase in output that can be generated by more levels of schooling. The advantage of our approach is that the upper bound is valid for any number of schooling levels with arbitrary patterns of substitution/complementarity. We also quantify the upper bound for all economies with the necessary data, compare our results with the standard development accounting approach, and provide an update on the results using the standard approach for a large sample of countries.

Suggested Citation

  • Caselli, Francesco & Ciccone, Antonio, 2012. "A Note to Schooling in Development Accounting," ADB Economics Working Paper Series 308, Asian Development Bank.
    • Handle: RePEc:ris:adbewp:0308
    as

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    References listed on IDEAS

    as
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    More about this item

    Keywords

    development accounting; education; output increase; schooling levels; underdeveloped economies;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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