Want Economic Growth with Good Quality Institutions? Spend on Education

Mamoon, Dawood and Murshed, Mansoob (2007): Want Economic Growth with Good Quality Institutions? Spend on Education.

Abstract

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
• Language: English
• 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

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