scholarly journals The Impact of Human Capital Underutilization on Productivity and Economic Growth in Egypt

2021 ◽  
Author(s):  
Eman Ahmed Hashem
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Negative Relationship ◽  
Training Systems ◽  
Integration Test ◽  
Augmented Dickey Fuller ◽  
Short Run ◽  
Econometric Tests ◽  
Long Term Impact ◽  
The Impact

This study estimates the effects of human capital underutilization on economic growth and productivity. This paper investigated the relationship between underutilization of human capital and economic growth using a variety of econometric tests like the Augmented Dickey Fuller test, the Johansen Integration test, and the ARDL model. The results indicate that, there is a negative relationship between human capital underutilization and economic growth. The results indicate that underutilization of human capital has a greater long-term impact on economic growth than it does in the short run. Reforms to education and training systems are required in order to maximise human capital utilisation and thus increase productivity and economic growth.

scholarly journals The Impact of Human Capital Underutilization on Productivity and Economic Growth in Egypt

2021 ◽  
Vol 4 (2) ◽  
Author(s):  
Eman Ahmed Hashem ◽  
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Negative Relationship ◽  
Training Systems ◽  
Integration Test ◽  
Augmented Dickey Fuller ◽  
Short Run ◽  
Econometric Tests ◽  
Long Term Impact ◽  
The Impact

This study estimates the effects of human capital underutilization on economic growth and productivity. This paper investigated the relationship between underutilization of human capital and economic growth using a variety of econometric tests like the Augmented Dickey Fuller test, the Johansen Integration test, and the ARDL model. The results indicate that, there is a negative relationship between human capital underutilization and economic growth. The results indicate that underutilization of human capital has a greater long-term impact on economic growth than it does in the short run. Reforms to education and training systems are required in order to maximise human capital utilisation and thus increase productivity and economic growth.

scholarly journals Estimating the Impact of Human Capital Underutilization on the Productivity and Economic Growth in India

2021 ◽  
Author(s):  
Vijaya Kumar M ◽  
Balu B
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Time Series Data ◽  
Negative Relationship ◽  
Series Data ◽  
International Labor Organization ◽  
Distributed Lag ◽  
Integration Test ◽  
The Impact ◽  
Adf Test

Abstract This study investigated the effect of human capital underutilization on productivity and economic growth. It has used time-series data accessed from the International Labor Organization (ILO) and World Bank database. This paper estimated the relationship between the underutilization of human capital on productivity and economic growth by applying the econometric tests like Augmented Dickey-Fuller (ADF) Test, Johansen Integration Test, and the Autoregressive Distributed Lag (ARDL) model. The results revealed that in the long run human capital underutilization has a negative relationship on GDP and labor productivity and it does not in the short run. The study recommends that specific policy legislations in the Indian labor markets are required for addressing the problem of human capital underutilization and thereby accelerating the economic growth and productivity for the current and future generations.

scholarly journals IMPACT OF EXPORTS AND IMPORTS ON THE ECONOMIC GROWTH IN BURUNDI

2020 ◽  
pp. 17-25
Author(s):  
Wu Jiying ◽  
Niyonsaba Eric ◽  
Blessed Kwasi Adjei
Keyword(s):  
Economic Growth ◽  
Granger Causality ◽  
Annual Data ◽  
Long Run ◽  
Integration Test ◽  
Augmented Dickey Fuller ◽  
Short Run ◽  
Stationarity Test ◽  
Integrating Vector ◽  
The Impact

This paper investigated the impact of exports and imports on the economic growth in Burundi. To achieve this purpose, annual data for the periods between 1989 and 2018 were tested. The study used Granger Causality and Johansen Co-integration approach for long-run relationship Using Augmented Dickey-Fuller (ADF) and Phillip-Perron (PP) stationarity test, the variable proved to be integrated of the order I(1) at first difference. Johansen and Juselius Co-integration test was used to determine the presence or otherwise of a co-integrating vector in the variables. To find out the direction of causality among the variables, at least in the short-run, the Pairwise Granger Causality was carried out. Exports were found to Granger Cause imports. The results show that there is unidirectional causality between exports and imports. These results provide evidence that growth in Burundi was propelled by a growth-led import strategy as well as export-led import. Imports are thus seen as the source of economic growth in Burundi. KEYWORDS: Co-integration, Granger causality; Exports; Imports; Economic growth, Burundi.

scholarly journals TRADE OPENNESS AND ECONOMIC GROWTH: EMPIRICAL EVIDENCE FROM INDIA

2014 ◽  
Vol 16 (1) ◽  
pp. 188-205 ◽  
Author(s):  
Qazi Muhammad Adnan Hye ◽  
Wee-Yeap Lau
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Granger Causality ◽  
Trade Openness ◽  
Granger Causality Test ◽  
Causality Test ◽  
Long Run ◽  
Rolling Window ◽  
Short Run ◽  
The Impact

The main objective of this study is to develop first time trade openness index and use this index to examine the link between trade openness and economic growth in case of India. This study employs a new endogenous growth model for theoretical support, auto-regressive distributive lag model and rolling window regression method in order to determine long run and short run association between trade openness and economic growth. Further granger causality test is used to determine the long run and short run causal direction. The results reveal that human capital and physical capital are positively related to economic growth in the long run. On the other hand, trade openness index negatively impacts on economic growth in the long run. The new evidence is provided by the rolling window regression results i.e. the impact of trade openness index on economic growth is not stable throughout the sample. In the short run trade openness index is positively related to economic growth. The result of granger causality test confirms the validity of trade openness-led growth and human capital-led growth hypothesis in the short run and long run.

scholarly journals Human Capital Development and Macroeconomic Performance in Nigeria: An Autoregressive Distributed Lag (ARDL) Approach

ETIKONOMI ◽  
2019 ◽  
Vol 18 (2) ◽  
pp. 185-196
Author(s):  
Olukayode Emmanuel Maku ◽  
Emmanuel Ogbonna Ajike ◽  
Solomon Chimereze Chinedu
Keyword(s):  
Human Capital ◽  
Negative Relationship ◽  
Macroeconomic Performance ◽  
Human Capital Development ◽  
Per Capita Gdp ◽  
Distributed Lag ◽  
Short Run ◽  
Per Capita ◽  
Capital Development ◽  
The Impact

Developed nations continue to invest heavily in the development and training of their human resources. Huge budgetary allocations show it to education and health, yet Nigeria’s human capital development policy has only been effective on paper. This study examined the impact of human capital development on the macroeconomic performance of Nigeria. Using the autoregressive distributed lagged (ARDL) model, this study shows an insignificant negative relationship between human capital development and per capita GDP in the short run. The results also showed that only the tertiary enrolment rate significantly and positively improved per capita GDP within the period under review. The study concluded that the government’s efforts aimed at boosting human capital have been insufficient.JEL Classification: O47, J11, J24

scholarly journals Impact of Human Capital Underutilization on Economic Growth: the Case of India

2021 ◽  
Author(s):  
Vijaya Kumar M ◽  
Balu B
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Time Series Data ◽  
Negative Relationship ◽  
Series Data ◽  
International Labor Organization ◽  
Distributed Lag ◽  
Long Run ◽  
Integration Test ◽  
Adf Test

Abstract This study investigated the effect of human capital underutilization on the economic growth of India. It has used time-series data accessed from the International Labor Organization (ILO) and World Bank database. This paper estimated the relationship between the underutilization of human capital on economic growth by applying the econometric tests like Augmented Dickey-Fuller (ADF) Test, Johansen Integration Test, and the Autoregressive Distributed Lag (ARDL) model. The results revealed that in the long run human capital underutilization has a negative relationship on GDP and labor productivity and it does not in the short run. The study recommends that specific policy legislations in the Indian labor markets are required for addressing the problem of human capital underutilization and thereby accelerating the economic growth and productivity for the current and future generations.

Does female human capital contribute to economic growth in India?: an empirical investigation

2017 ◽  
Vol 44 (11) ◽  
pp. 1506-1521 ◽  
Author(s):  
Madhu Sehrawat ◽  
A.K. Giri
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Physical Capital ◽  
Variance Decomposition ◽  
Content Type ◽  
Indian Economy ◽  
Education And Health ◽  
Long Run ◽  
Short Run ◽  
The Impact

Purpose The purpose of this paper is to examine the impact of female human capital on economic growth in the Indian economy during 1970-2014. Design/methodology/approach The paper employs Ng-Perron unit root test to check the order of integration of the variables. The study also used ARDL-bounds testing approach and the unrestricted error-correction model to investigate co-integration in the long run and short run; Granger’s causality test to investigate the direction of the causality; and variance decomposition test to capture the influence of each variable on economic growth. Findings The study constructed a composite index for both male and female human capitals by taking education and health as a proxy for human capital. The empirical findings reveal that female human capital is significant and positively related to economic growth in both short run and long run, while male human capital is positive but insignificant to the economic growth; same is the case for physical capital, it implies that such investment regarding female human capital needs to be reinforced. Further, there is an evidence of a long-run causal relationship from female human capital, male human capital and physical capital to economic growth variable. The results of variance decomposition show the importance of the female human capital variable is increasing over the time and it exerts the largest influence in change in economic growth. Research limitations/implications The empirical findings suggest that the Indian economy has to pay attention equally on the development of female human capital for short-run as well as long-run growth of the economy. This implies that the policy makers should divert more expenditure for developing support for female education and health. Originality/value To the best of authors’ knowledge, this is the first attempt to study the relationship between female human capital and economic growth in the context of the Indian economy.

scholarly journals Relative Impact of Domestic and Foreign Public Debt on Economic Growth in South Africa

2020 ◽  
pp. 193672442098041
Author(s):  
Talknice Saungweme ◽  
Nicholas M. Odhiambo
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Public Debt ◽  
Foreign Debt ◽  
Negative Relationship ◽  
Relative Impact ◽  
Long Run ◽  
Short Run ◽  
The Government ◽  
The Impact

This paper investigates the debt-growth nexus by testing both the impact of aggregate public debt on economic growth and the relative impact of domestic and foreign public debt on economic growth using South Africa as the case study—from 1970 to 2017. Based on the autoregressive distributed lag (ARDL) technique, the findings reveal that the impact of aggregated public debt on economic growth in South Africa is statistically significant and negative, both in the short run and in the long run. The results further reveal that domestic public debt and economic growth have a statistically significant and positive relationship in the short run only. Furthermore, foreign public debt has a statistically significant and negative relationship with economic growth but only in the long run. Therefore, the study recommends the government to manage effectively its debt and to finance long-term high-returning productive investments that should translate into economic growth. Finally, the study cautions the country against growing public debt, predominantly foreign debt, to finance its increasing recurrent expenditure needs.

scholarly journals The Impact of Imports and Exports Performance on the Economic Growth of Somalia

2017 ◽  
Vol 10 (1) ◽  
pp. 110
Author(s):  
Ali Abdulkadir Ali ◽  
Ali Yassin Sheikh Ali ◽  
Mohamed Saney Dalmar
Keyword(s):  
Economic Growth ◽  
Granger Causality ◽  
Ordinary Least Squares ◽  
Growth Strategy ◽  
Causality Test ◽  
Econometric Methods ◽  
Long Run ◽  
Augmented Dickey Fuller ◽  
Short Run ◽  
The Impact

In this paper the impact of exports and imports on the economic growth of Somalia over the period 1970-1991 was investigated. The study applied econometric methods such as Ordinary Least Squares technique. The Granger Causality and Johansen Co-integration tests were also used for analysing the long term association. By using Augmented Dickey-Fuller (ADF) and Phillip-Perron (PP) stationarity test, the variables proved to be integrated of the order one 1(1) at first difference. Johansen test of co-integration was used to determine if there is a long run association in the variables. To determine the direction of causality among the variables, both in the long and short run, the Pair-wise Granger Causality test was carried out. It was found that economic growth does not Granger Cause Export but was found hat export Granger Cause GDP. So this implies that there is unidirectional causality between exports and economic growth. Also there is bidirectional Granger Causality between import and export. The results show that economic growth in Somalia requires export-led growth strategy as well as export led import. Imports and exports are thus seen as the source of economic growth in Somalia.

scholarly journals The Impact of Human Capital on Economic Growth in Ethiopia: Evidence from Time Series Analysis

2020 ◽  
Vol 1 (1) ◽  
pp. 51-73
Author(s):  
Mekoro Arega
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Secondary School ◽  
Skilled Workers ◽  
School Enrolment ◽  
Long Run ◽  
Causality Tests ◽  
Secondary School Enrolment ◽  
Short Run ◽  
The Impact

The general objective of the study was to analyze the impact of human capital development on economic growth in Ethiopia over the period 1974/5 -2018/9. The econometric models of Johnesan cointegration, VECM and causality tests were applied to analysis short-run and long-run impact of Human capital on Economic growth. The result of the error correction model shows that the model is adjusting at a relatively stable rate of 74.3% towards the long-run equilibrium. Furthermore, the result shows that human capital proxied of (primary and secondary school enrolments) and active labour force have a positive statistical significant long run and short-run effect on economic growth in Ethiopia. Such findings are consistent with the endogenous growth theories which argue that an improvement in human capital (skilled workers) improves productivity. In addition, results reveal that education expenditure and life expectancy at birth have a positive and statistically significant long-run effect on economic growth. However, the expenditure on health, secondary school enrolment and official development assistance are statically significant and have an unexpected negative impact on long-run economic growth. Furthermore, the short-run causality tests results reveal that public expenditure on education, primary school enrolment, secondary school enrolment and RGDP have unidirectional causal effects. Hence policymakers and/or the government give prioritize to create institutional capacity that increase school enrolment and strengthening the infrastructure or investment of educational and health institutions that produce quality of manpower to increase productivity.

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