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Interrelations between Education, Health, Income and Economic Development in Europe with Emphasis on New Members of European Union

Boboc, Cristina and Driouchi, Ahmed and Titan, Emilia (2010): Interrelations between Education, Health, Income and Economic Development in Europe with Emphasis on New Members of European Union.

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Abstract

This study looks at how health, education, and economic development are inter-related in the case of Europe. Factorial analyses besides econometric models, implemented on a panel data from EUROSTAT show that the included variables are interrelated. The new members of the European Union are found to be investing in education, research and development and health care. Furthermore, they have high economic growth and high improvements in education and health state indicators. However, the instability and economic risks that have appeared during the transition process do affect the level of social protection. The existing social protection system increases poverty rates and slows the convergence towards developed economies. Two main directions for enhancing human development in EU new member economies are identified. They include the strengthening of the social protection system to target the vulnerable members affected by the transition process besides increasing expenditure on research and development.

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