Basu, Parantap and Bhattarai, Keshab (2011): Government bias in education, schooling attainment and growth.
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A surprising cross country stylized fact is that a higher public spending on education tends to lower the long run per capita growth rate and schooling returns. This is contrary to the conventional wisdom that education is a major driver of growth. In this paper, we revisit this issue and try to understand these puzzling facts in terms of an endogenous growth model. Our cross country calibration of the growth model predicts that countries with a greater government involvement in education experience lower schooling efforts and lower growth.
|Item Type:||MPRA Paper|
|Original Title:||Government bias in education, schooling attainment and growth|
|Keywords:||endogenous growth, public spending on education|
|Subjects:||E - Macroeconomics and Monetary Economics > E6 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook > E62 - Fiscal Policy
N - Economic History > N1 - Macroeconomics and Monetary Economics ; Industrial Structure ; Growth ; Fluctuations > N10 - General, International, or Comparative
|Depositing User:||Parantap Basu|
|Date Deposited:||23. Jun 2011 11:58|
|Last Modified:||20. Feb 2013 04:07|
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