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Human Capital and Economic Growth in Tunisia: Macroeconomic Findings

Dhaoui, Iyad (2013): Human Capital and Economic Growth in Tunisia: Macroeconomic Findings. Published in: International Journal of Humanities and Social Science Invention , Vol. 2, No. 5 (May 2013): pp. 49-73.

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Abstract

Since the seminal work of Solow (1956), along with the accumulation of factors related to physical capital, human capital has become one of the main determinants of economic growth. In this perspective, education is on growth through several channels to know, for example, life expectancy, birth rates and enrollment highlighted in most econometric regressions. The debate on the contribution of education to economic growth, especially in developing countries, is permanent in the economic literature. In Tunisia, this debate is even more pronounced when considering the proportion of the budget allocated to education. Education as an engine of growth, can also analyze various forms since its impact on growth varies we have primary, secondary and higher education. This paper aims to answer three sets of questions including: Is education is the only determinant of growth in Tunisia? If not, what are the related factors that enhance or constrain the effects on growth? And economic factors which structural or do they dominate in this process? Finally, what is the direction of causality between the highest education and economic growth? To provide some answers to these research questions, this study's objective is to empirically test a hypothesis defined for this purpose. This is the concern of this article. For this purpose, this paper tries to give some possible reflections that help us to develop the analytical tool that may help us to improving the way towards the amplification of the analysis paradigm.

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