scholarly journals Human Capital Development and Economic Growth in BRICS Countries: Controlling for Country Differences

2019 ◽  
Vol 11 (4(J)) ◽  
pp. 1-17
Author(s):  
Awolusi D. Olawumi
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Human Capital ◽  
Developing Economies ◽  
Generalized Method Of Moments ◽  
Pairwise Comparison ◽  
Least Square ◽  
Human Capital Development ◽  
Country Differences ◽  
Capital Development

This paper investigates the effect of human capital development on economic growth, as well as controlling for country differences, in the BRICS economies – from 1990 to 2017. Ordinary Least Square (OLS) and Generalized Method of Moments (GMM) were used as the estimation techniques. We use one-way ANOVA and Scheffe pairwise comparison tests to understand how human capital development differed between each pair of countries. Findings suggest that the effect of human capital development on economic growth, though significant, was limited in these countries. A comparative analysis of results showed that China, Brazil and Russia were able to utilise their human capital to enhance economic growth more efficiently than South Africa and India. Consequently, this study observed that a 1% increase in government expenditure on education would result in a 0.13% increase in GDP for China, a 0.06% increase in Russia, a 0.07% increase in Brazil, a 0.04% increase in South Africa, and a 0.01% increase in GDP in India. In addition, the study concluded that human capital development practices differ in all the countries. Although this result was previously implied in the literature, comparison of a comprehensive list of human capital development practices among countries was lacking. Overall, the paper argues that the classical theory of economic growth, in combination with the new theory, and also the theory of market value, will not only help sustain a strategy tripod, but also shed significant light on the most fundamental questions confronting human capital development and economic growth in many developing economies.

Human Capital Development and Economic Growth in Developing Economies

2018 ◽  
Author(s):  
Alexander Ayertey Odonkor ◽  
Kwaku Asiedu-Nketiah ◽  
Eric Oyemam Ato Brown ◽  
Mohammad Mamun Miah
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Developing Economies ◽  
Human Capital Development ◽  
Capital Development

Foreign Portfolio Investment And Human Capital Development In Nigeria 2005-2019

2020 ◽  
Vol 8 (10) ◽  
pp. 83-101
Author(s):  
James Ese Ighoroje ◽  
Akpokerere Othuke Emmanuel
Keyword(s):  
Human Capital ◽  
Developing Economies ◽  
Control Variable ◽  
Unit Roots ◽  
Least Square ◽  
Portfolio Investment ◽  
Domestic Investment ◽  
Human Capital Development ◽  
Foreign Portfolio Investment ◽  
Capital Development

Following the saving – investment gap resulting from shortfalls of savings suffered by developing economies it has become fashionable to embrace foreign capital inflow as an essential complementing alternative supply of funds for domestic investment. This study investigates the effect of foreign portfolio investment on human capital development in Nigeria covering the period 2005-2019. Foreign portfolio investment, the explanatory variable is disaggregated intoforeign portfolio equity (FPIE) and foreign portfolio bonds (FPIB), while exchange rate is included as the control variable. The Human Capital Development – the dependent variable is represented by the Human Development Index (HDI). Econometric techniques,including Descriptive Statistics,Augmented Dickey Fuller tests for unit roots, Error Correction Model (ECM), and Ordinary Least Square (OLS) Regression analysis were used. The study showed foreign portfolio investment in equity has positive and significant effect on human capital development while foreign portfolio investment in bonds has positive but insignificant effect. The study thus concluded that foreign portfolio investment has positive effect on human capital development and has helped to improve human capacity necessary for economic development in Nigeria. The study reiterated the need for eye-catching polices that will attract greater foreign portfolio investment in both equity and bonds in the stock market which could be achieved by greater openness.

scholarly journals The Dynamics of Foreign Direct Investment in BRICS Countries

2017 ◽  
Vol 9 (3(J)) ◽  
pp. 101-112
Author(s):  
Kunofiwa Tsaurai
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Foreign Direct Investment ◽  
Financial Development ◽  
Direct Investment ◽  
Fixed Effects ◽  
Trade Openness ◽  
Human Capital Development ◽  
Brics Countries ◽  
Capital Development

Recent studies which investigated the determinants of foreign direct investment (FDI) in BRICS include Hsin-Hong and Shou-Ronne (2012), Nandi (2012), Jadhav (2012), Darzini and Amirmojahedi (2013), Nischith (2013), Ho et al. (2013), Kaur et al. (2013) and Priya and Archana (2014). The findings from these studies shows lack of consensus and confirm that a list of agreeable determinants of FDI in BRICS countries is still an unsettled matter. This paper was therefore initiated in order to contribute to the debate on the discourse on FDI determinants in BRICS countries.This paper deviates from earlier similar studies in five ways: (1) uses most recent data, (2) is the first to investigate whether a combination of financial development, trade openness, human capital, economic growth and inflation influence FDI in BRICS countries, (3) uses different proxies of the variables that affect FDI, (4) employed both fixed effects and pooled ordinary least squares (OLS) approaches and (5) used a stacked data approach.The results of the study showed that economic growth, trade openness and exchange rate stability positively impacted on FDI, financial development positively influenced FDI under fixed effects, FDI was positively influenced by human capital development using the pooled OLS and inflation negatively affected FDI in line with literature. Taking into account these findings, this study urges BRICS to implement policies that increase financial sector efficiency and economic growth, maintain stable exchange rates, keep inflation rates at lower levels, enhance trade openness and human capital development in order to increase FDI inflows.

scholarly journals Sources of Economic Growth in Zambia: An Empirical Investigation

2017 ◽  
Vol 18 (2) ◽  
pp. 275-290 ◽  
Author(s):  
Themba G. Chirwa ◽  
Nicholas M. Odhiambo
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
International Trade ◽  
Foreign Aid ◽  
Development Aid ◽  
Human Capital Development ◽  
Long Run ◽  
Short Run ◽  
Capital Development ◽  
Macroeconomic Determinants

In this article, the key macroeconomic determinants of economic growth in Zambia are investigated using the autoregressive distributed lag (ARDL) bounds testing approach. The study has been motivated by the unsustainable growth trends that Zambia has been experiencing in recent years. Our study finds that the key macroeconomic determinants that are significantly associated with economic growth in Zambia include, amongst others, investment, human capital development, government consumption, international trade and foreign aid. The study’s results reveal that in the short run, investment and human capital development are positively associated with economic growth, while government consumption, international trade and foreign aid are negatively associated with economic growth. However, in the long run, the study finds investment and human capital development to be positively associated with economic growth, while only foreign aid is negatively associated with economic growth. These results have significant policy implications. They imply that short–run economic policies should focus on creating incentives that attract investment and increase the quality of education, the effectiveness of government institutions, the promotion of international trade reforms and the effectiveness of development aid. In the long run, development strategies should focus on attracting the accumulation of long-term investment, improving the quality of education and the effectiveness of development aid.

Lifelong learning, human capital development and the career advancement of women in the telecommunications industry in South Africa

2018 ◽  
Vol 32 (3) ◽  
pp. 192-199 ◽  
Author(s):  
Akinola George Dosunmu ◽  
Kolawole Samuel Adeyemo
Keyword(s):  
South Africa ◽  
Human Capital ◽  
Lifelong Learning ◽  
Gender Discrimination ◽  
Quantitative Research ◽  
Career Advancement ◽  
Telecommunications Industry ◽  
Human Capital Development ◽  
Quantitative Research Methods ◽  
Capital Development

This article offers insights into the concepts of lifelong learning and human capital development (HCD). It highlights HCD as the core of career advancement and lifelong learning for women as an important mechanism for progressing to senior management positions. The two concepts are considered in relation to women’s career choices and their professional advancement in South Africa. This approach is premised on the understanding that access to learning is critical to HCD. Methodologically, quantitative research methods was used. Questionnaires were administered to 133 junior workers at a mobile telecommunications network in South Africa. The findings show that continuous learning may offer a defence against gender discrimination and may create pathways for women to build their careers. The authors argue that HCD and lifelong learning are critical in creating opportunities for women to become leaders in the workplace and society. However, for this to happen, there must be supportive leadership, a conducive organizational culture and management integrity.

scholarly journals Trade Openness and Economic Growth in Malaysia

2017 ◽  
Vol 52 (3) ◽  
pp. 157-170 ◽  
Author(s):  
Keshmeer Makun
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Trade Openness ◽  
Decision Makers ◽  
Economic Policies ◽  
Human Capital Development ◽  
Full Benefit ◽  
Capital Development ◽  
Positive Effect ◽  
Econometric Technique

This study is an attempt to examine the effects of trade openness along with two other conditioning variables on economic growth in Malaysia by applying time-series econometric technique. LSE-Henry’s general to specific approach results show significant positive effect of trade openness on growth. Human capital and good economic policies tested with an interaction term increases the growth effects of trade openness. The addition of these variables and findings are significant statistically and robust to different specifications. On the basis of the findings, it is concluded that while trade openness enhance growth, decision makers should also focus on human capital development. In addition, decision makers should ensure good economic policies to take full benefit of trade openness.

scholarly journals Selected macroeconomic determinants and economic growth in Cameroon (1970–2018) “dead or alive” an ARDL approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kesuh Jude Thaddeus ◽  
Chi Aloysius Ngong ◽  
Njimukala Moses Nebong ◽  
Akume Daniel Akume ◽  
Jumbo Urie Eleazar ◽  
...  
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Government Expenditure ◽  
Human Capital Development ◽  
Content Type ◽  
Capital Development ◽  
Macroeconomic Determinants ◽  
The Impact

PurposeThe purpose of this paper is to examine key macroeconomic determinants on Cameroon's economic growth from 1970 to 2018.Design/methodology/approachData were obtained from the World Development Indicators and applied on time series data econometric techniques. The auto-regressive distributed lag (ARDL) bounds model analyzed the data since the variables had different order of integration.FindingsThe results showed long and short runs’ positive and significant connection between economic growth in Cameroon and government expenditure; trade openness, gross capital formation and exchange rate. Human capital development, foreign aid, money supply, inflation and foreign direct investment negatively and significantly affected economic growth in the short and long-runs. Hence, the macroeconomic indicators are not death.Research limitations/implicationsThe present research paper has tried to capture the impact of nine macroeconomic determinants on economic growth such as the government expenditure (LNGOVEXP), human capital development (LNHCD), foreign aids (AID), trade openness (LNTOP), foreign direct investment (LNFDI), gross capital formation (INVEST), broad money (LNM2), official exchange rate (LNEXHRATE) and Inflation (LNINFLA). However, these variables have the tendency to affect each other in a unidirectional or bidirectional manner. Further, the present research paper is unable to capture the impact of other macroeconomic variable due to the unavailability of data.Practical implicationsThe study recommends that Cameroon should use proper planning and strategic policy interventions to achieve higher sustainable economic growth with human capital development, foreign aid, money supply, foreign direct investment and moderate inflation.Social implicationsMacroeconomic indicators, if managed well, increase economic growth.Originality/valueThis paper to the best of the researcher's knowledge presents new background information to both policymakers and researchers on the main macroeconomic determinants using econometric analysis.

scholarly journals Corruption practices and government effectiveness on human capital development in Nigeria

2021 ◽  
Vol 11 (2) ◽  
pp. 88-97
Author(s):  
Oluwatobi O Omotoye ◽  
Zaccheaus, O. Olonade ◽  
Olumide, O. Omodunbi
Keyword(s):  
Human Capital ◽  
Least Square Method ◽  
Least Square ◽  
Human Capital Development ◽  
Persistent Problem ◽  
Government Effectiveness ◽  
Development Indicators ◽  
Capital Development ◽  
The Impact ◽  
The Relationship

The study assessed the impact of corruption practices and government effectiveness (GE) on human capital development (HCD) in Nigeria between the years 2003 and 2020, Panel data from 2003 to 2020 were obtained from the database of United Nations Development Programme, World Development Indicators and CIP and were analysed using the ordinary least square method which is suitable for the dataset. The study found that corruption has a significant relationship with HCD in Nigeria while the relationship between GE and HCD is not significant. The research implication is that the persistent problem of slow and sometimes stagnant HCD and growth in Nigeria can be reversed by improving GE and by reducing corrupt practices in the country. The paper concluded that corruption practices have a very strong influence on HCD in Nigeria, while the relationship between GE and HCD is insignificant. It was recommended that Nigeria should institute stiffer punishments for offenses bothering on corruption practices.   Keywords: Corruption, human capital, development, government effectiveness, Nigeria.

scholarly journals EMPIRICAL ANALYSIS OF THE IMPACT OF KADUNA STATE GOVERNMENT EXPENDITURE ON EDUCATION ON HUMAN CAPITAL DEVELOPMENT

2016 ◽  
Vol 4 (4) ◽  
pp. 542-546
Author(s):  
Yunana Titus Wuyah ◽  
Muhammad Dahiru Ahmad
Keyword(s):  
Human Capital ◽  
State Government ◽  
Primary Schools ◽  
Capital Expenditure ◽  
Government Expenditure ◽  
The State ◽  
Least Square ◽  
Human Capital Development ◽  
Capital Development ◽  
The Impact

This study empirically examine the impact of government expenditure on education on human capital development in Kaduna State over the last 15 years (2000-2015) using econometrics model with Ordinary Least Square (OLS) technique.The paper test for presence of stationary between the variables using Augmented Dickey Fuller (ADF) and autocorrelationusing Durbin Watson statistics. The results reveals all the variables were not stationary in levels except capital expenditure (CE) and Primary schools enrolment (PE) while the rest were stationary at second difference. DW shows presence of serial correlation. The regression results indicated that government expenditure on education have significant impact on human capital development in Kaduna State. It could therefore be recommended that the state government should increase its capital and recurrent expenditure on education, ensure proper management and monitory of funds made for the teachers, constant payment of teachers salaries and allowances in a manner that it will raise the state production capacity. The state should construct addition primary and secondary schools across the state, with modern facilities, and employ more teachers.

Sign in / Sign up

Export Citation Format

Share Document