Mamoon, Dawood and Murshed, Mansoob (2007): Want Economic Growth with Good Quality Institutions? Spend on Education.
Download (249kB) | Preview
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 wellbeing. Indeed, the accumulation of human capital stocks via increased education might lead to improved institutional functioning, and the utilisation of policies like trade liberalisation.
|Item Type:||MPRA Paper|
|Institution:||Institute of Social Studies|
|Original Title:||Want Economic Growth with Good Quality Institutions? Spend on Education|
|Keywords:||Growth; Institutions; Human Capital|
|Subjects:||I - Health, Education, and Welfare > I2 - Education and Research Institutions > I28 - Government Policy
P - Economic Systems > P3 - Socialist Institutions and Their Transitions > P36 - Consumer Economics ; Health ; Education and Training ; Welfare, Income, Wealth, and Poverty
I - Health, Education, and Welfare > I2 - Education and Research Institutions > I21 - Analysis of Education
|Depositing User:||Dawood Mamoon|
|Date Deposited:||01. May 2007|
|Last Modified:||19. Mar 2015 15:18|
Acemoglu, D. S. J. and Robinson, A. J. (2001) The Colonial Origins of Comparative Development: An Empirical Investigation, American Economic Review, 91(5), pp.1369-1401, Alcala, F. and Ciccone, A. (2001) Trade and Productivity, CEPR Discussion Paper No. 3095. Anderson, J. E. and Marcouiller, D. (1999) Trade, Insecurity, and Home Bias: An Empirical Investigation, NBER Working Paper No. 7000. Barro, R. J. (1996) Democracy and Growth, Journal of Economic Growth, 1(1), pp.1-27. Davidson, R. and MacKinnon J. G. (1993) Estimation and Inference in econometrics, (New York: Oxford).
Dollar, D. and Kraay A. (2002) Institutions, Trade and Growth, Journal of Monetary Economics, 50 (1), pp.133-162.
Easterly, W. and Levine, R. (2003) Tropics, Germs and Crops: How Endowments Influence Economic Development, Journal of Monetary Economics, 50 (1), pp. 3-39.
Edwards, S. (1998) Openness, Productivity and Growth: What Do We Really Know? Economic Journal, 108, pp.383-398.
Frankel, J. and Romer. D (1999) Does Trade Cause Growth? American Economic Review, 89(3), pp. 379-399.
Glaeser, E L. La-Porta, R. Lopez-de-Silanes, F. and Shleifer, A. (2004a) Explaining Growth: Institutions, Human Capital, and Leaders http://www.brook.edu/es/commentary/journals/bpea_macro/papers/20040325_glaeser.pdf
Glaeser, E L. La-Porta, R. Lopez-de-Silanes, F. and Shleifer (2004b) Do Institutions cause Growth, Journal of Economic Growth, 9 (3), pp. 271-303.
Greenaway, D. Morgan, W. and Wright, P. (2001) Trade Liberalisation and Growth in Developing Countries, Journal of Development Economics, 67, pp. 229-224.
Hall, R. E. and Jones, C. (1999) Why do Some Countries Produce So Much More Output per Worker than Others? Quarterly Journal of Economics, 114, pp. 83-116
Kaufman, D. Kraay, A. and Zoido-Lobaton (2002) Governance Matters II: Updated Indicators for 2000/01, Policy Research Working Paper 2772, The World Bank http://www.worldbank.org/wbi/governance/pdf/govmatters2.pdf
Lipset, S. M. (1960) Political Man: The Social Basis of Modern Politics, (New York: Doubleday)
Rodriguez, F. and Rodrik, D. (2000) Trade Policy and Economic Growth: A Skeptic’s Guide to the Cross-National Evidence, in: B. Bernanke and K. Rogoff (eds.) Macroeconomics Annual 2000, (MIT Press for NBER)
Rodrik, D. Subramanian, A. and Trebbi, F. (2004) Institutions Rule: The Primacy of Institutions Over Geography and Integration in Economic Development, Journal of Economic Growth, 9 (2), pp. 131-165.
Rodrik, D. (1998) Trade Policy and Economic Performance in Sub-Saharan Africa, NBER Working Paper 6562.
Rose, A. (2002) Do WTO Members Have a More Liberal Trade Policy? NBER Working Paper 9347.
Sachs, J. D. and Warner, A. (1995) Economic Reform and Process of Global Integration, Brookings Papers on Economic Activity, (1), pp. 1-118.
Schiff, A. (1999) The Connection between Education and Growth: A Summary of Recent Cross-Country Empirical Evidence, Unpublished http://www.crnec.auckland.ac.nz/crnec/aaron/edugrow.pdf
Wei, S. Jin. (2000) ‘Natural Openness and Good Government, NBER Working Paper No. W7765.