Hermannsson, K. and Lecca, P. (2016) Human capital in economic development: from labour productivity to macroeconomic impact. Economic Papers, 35(1), pp. 24-36. (doi: 10.1111/1759-3441.12126)
|
Text
114205.pdf - Accepted Version 457kB |
Abstract
Micro-econometric evidence reveals high private returns to education, most prominently in low-income countries. However, it is disputed to what extent this translates into a macro-economic impact. This paper projects the increase in human capital from higher education in Malawi and uses a dynamic applied general equilibrium model to estimate the resulting macroeconomics impact. This is contingent upon endogenous adjustments, in particular how labour productivity affects competitiveness and if this in turn stimulates exports. Choice among labour market assumptions and trade elasticities results in widely different outcomes. Appraisal of such policies should consider not only the impact on human capital stocks, but also adjustments outside the labour market.
| Item Type: | Articles |
|---|---|
| Additional Information: | The author's acknowledge the financial support of the Icelandic International Development Agency. |
| Keywords: | Human Capital; Economic Development; Higher Education; Labour Markets; Trade; Malawi. |
| Status: | Published |
| Refereed: | Yes |
| Glasgow Author(s) Enlighten ID: | Hermannsson, Professor Kristinn |
| Authors: | Hermannsson, K., and Lecca, P. |
| Subjects: | H Social Sciences > HB Economic Theory L Education > L Education (General) |
| College/School: | College of Social Sciences > School of Education College of Social Sciences > School of Education > Educational Leadership & Policy |
| Research Group: | Robert Owen Centre |
| Journal Name: | Economic Papers |
| Publisher: | Wiley |
| ISSN: | 0812-0439 |
| ISSN (Online): | 1759-3441 |
| Published Online: | 05 January 2016 |
| Copyright Holders: | Copyright © 2016 The Economic Society of Australia |
| First Published: | First published in Economic Papers 35(1):24-36 |
| Publisher Policy: | Reproduced in accordance with the copyright policy of the publisher |
| Data DOI: | 10.5525/gla.researchdata.188 |
University Staff: Request a correction | Enlighten Editors: Update this record
Altmetric
Altmetric