IDEAS home Printed from https://ideas.repec.org/p/une/wpaper/8.html
   My bibliography  Save this paper

Dynamic Links between the Economy and Human Development

Author

Listed:
  • Gustav Ranis
  • Frances Stewart

Abstract

This paper empirically confirms the significance of various links in each of two chains over time: from economic growth (EG) to human development (HD), including EG itself, income distribution, the social expenditure ratio and female education; from HD to EG, including HD itself, along with the investment ratio. Our most important conclusion concerns sequencing over time. EG, which is an important input into HD improvement, is itself not sustainable without such improvement, either prior or simultaneous. Therefore, traditional policy advice, which argues that HD improvements must wait until EG expansion makes it affordable, is likely to be in error.

Suggested Citation

  • Gustav Ranis & Frances Stewart, 2005. "Dynamic Links between the Economy and Human Development," Working Papers 8, United Nations, Department of Economics and Social Affairs.
    • Handle: RePEc:une:wpaper:8
    as

    Download full text from publisher

    File URL: http://www.un.org/esa/desa/papers/2005/wp8_2005.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gustav Ranis & Frances Stewart, 2000. "Strategies for Success in Human Development," Journal of Human Development and Capabilities, Taylor & Francis Journals, vol. 1(1), pages 49-69.
    2. Strauss, John, 1986. "Does Better Nutrition Raise Farm Productivity?," Journal of Political Economy, University of Chicago Press, vol. 94(2), pages 297-320, April.
    3. Romer, Paul M, 1990. "Endogenous Technological Change," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 71-102, October.
    4. Berhman, J.R., 1990. "The action of human resources and poverty on one another: what we have yet to learn," Papers 74, World Bank - Living Standards Measurement.
    5. Bloom, David E. & Canning, David & Sevilla, Jaypee, 2004. "The Effect of Health on Economic Growth: A Production Function Approach," World Development, Elsevier, vol. 32(1), pages 1-13, January.
    6. Welch, F, 1970. "Education in Production," Journal of Political Economy, University of Chicago Press, vol. 78(1), pages 35-59, Jan.-Feb..
    7. Psacharopoulos, George, 1994. "Returns to investment in education: A global update," World Development, Elsevier, vol. 22(9), pages 1325-1343, September.
    8. Birdsall, Nancy & Ross, David & Sabot, Richard, 1995. "Inequality and Growth Reconsidered: Lessons from East Asia," The World Bank Economic Review, World Bank Group, vol. 9(3), pages 477-508, September.
    9. Gustav Ranis, 2000. "Strategies for Success in Human Development," Working Papers 808, Economic Growth Center, Yale University.
    10. Behrman, Jere R. & Wolfe, Barbara L., 1987. "Investments in schooling in two generations in pre-revolutionary Nicaragua : The roles of family background and school supply," Journal of Development Economics, Elsevier, vol. 27(1-2), pages 395-419, October.
    11. Persson, Torsten & Tabellini, Guido, 1994. "Is Inequality Harmful for Growth?," American Economic Review, American Economic Association, vol. 84(3), pages 600-621, June.
    12. Alesina, Alberto & Perotti, Roberto, 1994. "The Political Economy of Growth: A Critical Survey of the Recent Literature," The World Bank Economic Review, World Bank, vol. 8(3), pages 351-371, September.
    13. Rosenzweig, Mark R & Schultz, T Paul, 1982. "Market Opportunities, Genetic Endowments, and Intrafamily Resource Distribution: Child Survival in Rural India," American Economic Review, American Economic Association, vol. 72(4), pages 803-815, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Isabel Ortiz, 2007. "Social Policy," Policy Notes 6, United Nations, Department of Economics and Social Affairs.
    2. Serdar Ozturk & Seher Suluk, 2020. "The granger causality relationship between human development and economic growth: The case of Norway," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 9(6), pages 143-153, October.
    3. Yusuke Kamiya, 2010. "Determinants of Health in Developing Countries:Cross-Country Evidence," OSIPP Discussion Paper 10E009, Osaka School of International Public Policy, Osaka University.
    4. repec:gdk:wpaper:3 is not listed on IDEAS
    5. Ewa, Lechman, 2012. "Social development – a multidimensional approach to social development analysis. Country level evidence for year 2011," MPRA Paper 41812, University Library of Munich, Germany.
    6. Wang, Zhaohua & Bui, Quocviet & Zhang, Bin & Nawarathna, Chulan Lasantha K. & Mombeuil, Claudel, 2021. "The nexus between renewable energy consumption and human development in BRICS countries: The moderating role of public debt," Renewable Energy, Elsevier, vol. 165(P1), pages 381-390.
    7. Saksena, Shalini & Deb, Moumita, 2016. "Transition pattern of Indian states across different categories of growth and development: Post economic liberalisation experience," Business and Economic Horizons (BEH), Prague Development Center (PRADEC), vol. 12(3).
    8. Md. Saiful Islam, 2020. "Human Capital and Per Capita Income Linkage in South Asia: A Heterogeneous Dynamic Panel Analysis," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 11(4), pages 1614-1629, December.
    9. Graafland, J.J., 2008. "Market operation and distributive justice: An evaluation of the ACCRA confession," MPRA Paper 20276, University Library of Munich, Germany.
    10. Javier Bilbao-Ubillos, 2013. "Another Approach to Measuring Human Development: The Composite Dynamic Human Development Index," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 111(2), pages 473-484, April.
    11. repec:gdk:wpaper:2 is not listed on IDEAS
    12. Ewa Lechman, 2012. "Technology convergence and digital divides. A country-level evidence for the period 2000–2010," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 31.
    13. Susan Randolph & Elizabeth Kaletski, 2018. "Securing Economic and Social Rights: Obstacle or Handmaiden to Growth?," Economic Rights Working Papers 26, University of Connecticut, Human Rights Institute.
    14. Ewa, Lechman, 2012. "Cross national technology convergence. An empirical study for the period 2000-2010," MPRA Paper 37442, University Library of Munich, Germany.
    15. Łukasz Goczek, 2011. "International Openness and Social Development as Endogenous Determinants of Growth," Working Papers 2011-22, Faculty of Economic Sciences, University of Warsaw.
    16. Rossana Guerra Sousa & Edilson Paulo & João Marôco, 2017. "Longitudinal Factor Analysis of Public Expenditure Composition and Human Development in Brazil After the 1988 Constitution," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 134(3), pages 1009-1026, December.
    17. Neamtu Daniela-Mihaela & Ciobanu Oana-Georgiana, 2015. "Correlations Between Human Development And Economic Growth," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 1, pages 118-122, January.
    18. Wang, Zhaohua & Bui, Quocviet & Zhang, Bin, 2020. "The relationship between biomass energy consumption and human development: Empirical evidence from BRICS countries," Energy, Elsevier, vol. 194(C).
    19. Saksena, Shalini & Deb, Moumita, 2016. "Economic Growth and Human Development in Indian States after two decades of Economic Reforms," MPRA Paper 71128, University Library of Munich, Germany, revised 05 Mar 2016.
    20. Andrzej Cieslik & Jan Jakub Michalek & Jerzy Mycielski, 2012. "Social Development And International Trade In Central Europe," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 7(2), pages 7-19, June.
    21. Ortiz, Isabel, 2007. "Politica Social [Social Policy]," MPRA Paper 35162, University Library of Munich, Germany.
    22. Chaudhary, Amatul R. & Chani, Muhammad Irfan & Pervaiz, Zahid, 2012. "An analysis of different approaches to women empowerment: a case study of Pakistan," MPRA Paper 37784, University Library of Munich, Germany.
    23. Sangaran Vijesandiran & Priyatharsiny Selvarasa, 2018. "Effects Of Fiscal Policy On Human Development In Sri Lanka: An Empirical Analysis," Journal of Smart Economic Growth, , vol. 3(3), pages 1-36, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ranis, Gustav & Stewart, Frances & Ramirez, Alejandro, 2000. "Economic Growth and Human Development," World Development, Elsevier, vol. 28(2), pages 197-219, February.
    2. Gustav Ranis & Frances Stewart, 2000. "Strategies for Success in Human Development," Journal of Human Development and Capabilities, Taylor & Francis Journals, vol. 1(1), pages 49-69.
    3. Gustav Ranis, 2000. "Strategies for Success in Human Development," Working Papers 808, Economic Growth Center, Yale University.
    4. Alejandro Ramirez & Gustav Ranis, 1997. "Economic Growth and Human Development," Working Papers 787, Economic Growth Center, Yale University.
    5. Ranis, Gustav & Stewart, Frances, 2002. "Economic growth and human development in Latin America," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), December.
    6. Gustav RANIS & Frances STEWART, 2001. "Growth And Human Development: Comparative Latin American Experience," The Developing Economies, Institute of Developing Economies, vol. 39(4), pages 333-365, December.
    7. Arne Bigsten & Jörgen Levin, 2001. "Growth, Income Distribution, and Poverty," WIDER Working Paper Series DP2001-129, World Institute for Development Economic Research (UNU-WIDER).
    8. Bigsten , Arne & Levin, Jörgen, 2000. "Growth, Income Distribution, and Poverty: A Review," Working Papers in Economics 32, University of Gothenburg, Department of Economics.
    9. repec:eee:labchp:v:3:y:1999:i:pb:p:2859-2939 is not listed on IDEAS
    10. Adalgiso Amendola & Roberto Dell�Anno, 2014. "Income inequality and economic growth: an empirical investigation in Mediterranean countries," RIEDS - Rivista Italiana di Economia, Demografia e Statistica - The Italian Journal of Economic, Demographic and Statistical Studies, SIEDS Societa' Italiana di Economia Demografia e Statistica, vol. 68(2), pages 35-58, April-Jun.
    11. Suri, Tavneet & Boozer, Michael A. & Ranis, Gustav & Stewart, Frances, 2011. "Paths to Success: The Relationship Between Human Development and Economic Growth," World Development, Elsevier, vol. 39(4), pages 506-522, April.
    12. Ghislain N. Gueye & Hyeongwoo Kim & Gilad Sorek, 2017. "Pitfalls In Testing For Cointegration Between Inequality And The Real Income," Economic Inquiry, Western Economic Association International, vol. 55(2), pages 941-950, April.
    13. repec:wvu:wpaper:06-08 is not listed on IDEAS
    14. Susan Randolph & Elizabeth Kaletski, 2018. "Securing Economic and Social Rights: Obstacle or Handmaiden to Growth?," Economic Rights Working Papers 26, University of Connecticut, Human Rights Institute.
    15. Yahya Z. ALSHEHHI, 2017. "Achievements In Terms Of Human Development Dimensions," SEA - Practical Application of Science, Romanian Foundation for Business Intelligence, Editorial Department, issue 13, pages 109-125, May.
    16. Marrero, Gustavo A. & Rodríguez, Juan G., 2013. "Inequality of opportunity and growth," Journal of Development Economics, Elsevier, vol. 104(C), pages 107-122.
    17. Huffman, Wallace & Orazem, Peter, 2004. "The Role of Agriculture and Human Capital in Economic Growth: Farmers, Schooling, and Health," ISU General Staff Papers 200408190700001239, Iowa State University, Department of Economics.
    18. Ravallion, Martin, 2003. "Targeted transfers in poor countries : revisiting the tradeoffs and policy options," Policy Research Working Paper Series 3048, The World Bank.
    19. Baldacci, Emanuele & Clements, Benedict & Gupta, Sanjeev & Cui, Qiang, 2008. "Social Spending, Human Capital, and Growth in Developing Countries," World Development, Elsevier, vol. 36(8), pages 1317-1341, August.
    20. Ignacio Amate-Fortes & Almudena Guarnido-Rueda & Agustin Molina-Morales, 2017. "Economic and Social Determinants of Human Development: A New Perspective," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 133(2), pages 561-577, September.
    21. Roberto Dell'Anno & Adalgiso Amendola, 2015. "Social Exclusion and Economic Growth: An Empirical Investigation in European Economies," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 61(2), pages 274-301, June.
    22. Asplund, Rita, 2004. "A Macroeconomic Perspective on Education and Inequality," Discussion Papers 906, The Research Institute of the Finnish Economy.

    More about this item

    Keywords

    human development; economic growth; comparative country studies;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O50 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:une:wpaper:8. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Aimee Gao (email available below). General contact details of provider: https://edirc.repec.org/data/desunus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.