Citations


Contact Us

For Marketing, Sales and Subscriptions Inquiries
2637 E Atlantic Blvd #43110
Pompano Beach, FL 33062
USA

Conference List

The Economics and Finance Letters

December 2020, Volume 7, 2, pp 218-235

Human Capital and Economic Growth in Latin America: A Cointegration and Causality Analysis

Ejiro U. Osiobe

Ejiro U. Osiobe 1


  1. College of Business, Westcliff University, USA. 1

on Google Scholar
on PubMed

Pages: 218-235

DOI: 10.18488/journal.29.2020.72.218.235

Share :

Article History:

Received: 20 July, 2020
Revised: 28 August, 2020
Accepted: 16 September, 2020
Published: 01 October, 2020


Abstract:

This paper investigates the causal relationship between government spending on education and economic growth in eight selected Latin American countries by using panel unit root test and panel cointegration analysis for the period 2000-2014. A three-variable model was formulated with trade volume as the second independent variable. The findings conclude that government spending on education and economic growth in the selected countries is positively and significantly associated, in the long and short-run, with evidence of a bidirectional Granger causal relationship between the dependent and the variable of interest, a unidirectional Granger causal relationship between trade volume and economic growth. The implication of our results shows that government secondary school spending on education has a positive impact on the selected countries, and our analysis can be replicated with other countries.
Contribution/ Originality
The paper's main contribution to the existing literature by investigating the cointegration and Granger causal relationship between human capital and economic growth for eight selected Latin American countries: Argentina, Brazil, Chile, Colombia, Costa Rica, Mexico, Peru, and El Salvador. The study is one of the few studies which have examined this relationship, which makes it unique and of great value to the field of economics and economic development.

Keywords:

Government spending on education, Economic growth, Economic development, Latin America, Panel cointegration, Eductaion.

Reference:


Statistics:

Google Scholor ideas Microsoft Academic Search bing Google Scholor

Funding:

This study received no specific financial support.

Competing Interests:

The author declares that there are no conflicts of interests regarding the publication of this paper.

Acknowledgement:


Related Article

( 1 ) Impact of Labour, Capital and Human Resources in Productivity of Transport Firms in Nigeria
( 2 ) The Impact of Human Capital on Economic Growth: Evidence from Tunisia Using Star and Stecm Models
( 3 ) Challenges of Human Rights Abuses in Nigerian Democratic Governance – Which Way Forward ?
( 4 ) Nigerian Politics, Economic Development, and the Role of Human Rights Organisations on Elections
( 5 ) Industrialization and Economic Growth in Sub-Saharan Africa: The Role of Human Capital in Structural Transformation
( 6 ) Factors Influencing Human Capital in Ready Made Garments Industry in Bangladesh
( 7 ) Africa's Human Capital Development: Is Public Finance Management an Effective Strategy?
( 8 ) Re-Engineering Nigerian Economy through Human Capital Development: A Case of Manufacturing Firms In Southern Part of Nigeria
( 9 ) Intellectual Property Rights, Human Capital and Innovation in Emerging and Developing Countries
( 10 ) Factors Influencing on Human Resources Development in SMEs Service Enterprises in Industry 4.0: The Case of Thai Nguyen Province, Vietnam
( 11 ) Human Capital and Economic Growth in Latin America: A Cointegration and Causality Analysis
( 12 ) Human Capital Development and Economic Growth in Nigeria: An Autoregressive Distributed Lag (ARDL) Approach
( 15 ) Explaining Psychological Capital Components through Organization’s Ethical Climate Components
( 16 ) Rice Farmer and Capital Formation: A Case Study of Rice Farmer's Credit Cooperative in Itoikin, Ikosi-Ejirin LCDA, Lagos State
( 17 ) Under-Utilization of Female Capital: A Quantitative Study in Pakistani Perspective
( 18 ) Macroeconomic Indicators and Capital Formation Growth in Nigeria: A New Evidence
( 19 ) Foreign Capital Inflows and Unemployment in Nigeria: A New Evidence from ARDL-Bounds Testing Approach
( 20 ) Disaggregated Foreign Capital Inflows and Economic Growth in a Developing Economy: Empirical Evidence from Nigeria
( 22 ) Decision-Making on Working Capital Management, Based on Industry Differences
( 23 ) Foreign Direct Investment in Zimbabwe: The Role of Uncertainty, Exports, Cost of Capital, Corruption and Market Size
( 26 ) Analysis of Effect of Profitability, Capital, Risk Financing, the Sharia Supervisory Board and Capabilities Zakat in Islamic Perspective with Circular Approach Causastion on Islamic Banks in Indonesia
( 27 ) Incidence of Short Term Private Capital Outflow: Empirical Analysis in Nigeria
( 30 ) Does Capital Structure Affect the Profitability of Listed Family and Non-Family Firms? Evidence from Bangladesh
( 31 ) Effect of Savings Deposit Rate on Stock Market Capitalization in Nigeria: An Empirical Investigation
( 32 ) Factors Affecting the Capital Structure of the Textile Industry in Bangladesh: An Inferential Study
( 33 ) The Effect of Capital Structure Decisions on Profitability of Quoted Consumer Goods in Nigeria
( 36 ) Consideration the Relationship Between Information Communications Technology and Economic Growth in Top 10 Economic
( 37 ) Shifting Global Economic Paradigm
( 38 ) How Telecommunication Development Aids Economic Growth: Evidence from Itu Ict Development Index (IDI) Top Five Countries for African Region
( 39 ) The Prospects of Accounting and Economic Systems in the Era of Global Knowledge Economy
( 40 ) Labor and Economic Growth in Zimbabwe
( 42 ) Exchange Rate Movements, Import And Economic Growth in Nigeria (1986-2010)
( 43 ) Impact of Food Beverage Price Index and Exchange Rate Volatility on Economic Growth
( 44 ) Long-Run Relationships and Causality Tests Between Military Expenditure and Economic Growth in India
( 45 ) Public Infrastructure Spending and Economic Growth in Nigeria: An Error Correction Mechanism (ECM) Approach
( 46 ) Study of the Relationship between Economic Growth and Inflation: Application to the Countries of the South Side of the Mediterranean: A Panel Data Approach
( 47 ) The Entrepreneurship, Knowledge Spillover and Economic Growth
( 48 ) Corruption’s and Democracy’s Effects on Economic Growth
( 49 ) Relationships between Financial Development and Economic Growth: A New Approach by Inputs
( 50 ) Impact of Microfinance Lending On Economic Growth of Third world Nations: Study of Nigeria
( 51 ) The Role of Information and Communication Technology in Rural Socio-Economic Development in Africa
( 52 ) Dividend Policy Relevancy in Theoretical and Practical Economics
( 53 ) Consideration the Effects of Water Sector Investment on Economic Growth in Iran
( 54 ) Is Brics a Viable Solution for Russia in the Context of the Present Eu’s Economic Sanctions?
( 55 ) Stock Market Performance and Economic Growth: Evidence from Nigeria Employing Vector Error Correction Model Framework
( 56 ) Rural Saving Mobilizations and Economic Development in Akamkpa Local Government Area of Cross River State - Nigeria
( 58 ) Rural - Urban Balance as a Measure of Socio-Economic Development with Special Reference to Iran
( 59 ) Causal Relationship between Imports and Economic Growth in Zimbabwe: An Empirical Analysis 1975 – 2013
( 60 ) The Effect of Access and Quality of Education on Economic Development in Botswana
( 61 ) Panel Data Analysis of the Impact of Economic Freedom as Well as Economic Conditions, The Quality of Life, and Public Education Spending on U.S. Undocumented Immigrant Settlement Patterns
( 62 ) Dynamics of Inflation, Economic Growth, Money Supply and Exchange Rate in India: Evidence from Multivariate Analysis
( 63 ) Structural Breaks, Electricity Generation and Economic Growth in Nigeria
( 64 ) Comparative Analysis of the Effectiveness of Coub-Douglas, Real Business Cycle, and Keynsian Growth Models in Determining Economic Growth in Nigeria
( 65 ) The Link Between Agricultural Budgetary Allocation and Economic Growth in Nigeria
( 66 ) Financial Deepening, Interest Rate Spread and Economic Growth: New Evidence from Sub-Sahara Africa
( 67 ) China Pakistan Economic Corridor (CPEC): Analysis of Internal and External Challenges
( 68 ) A Case Study of Local Government Implementation of the Ward Based Local Economic Development (LED) Program
( 69 ) Military Regimes and Nigeria’s Economic Development, 1966-1999
( 70 ) An Investigation of the Relationship between Manufacturing Output and Economic Growth : Evidence from Nigerias Data Set
( 71 ) Scenario Economic Impact Analysis of Offshore Fishing Tournaments in Ocean City
( 73 ) An Empirical Investigation into the Key Drivers of Economic Performance in the CEMAC Zone: A Panel Corrected Standard Errors Approach
( 75 ) Impact of Telecommunications Market Liberalization on Labor Productivity in Economic Community of West African States
( 76 ) Assessment of Dual Carriageway for Sustainable Socio-Economic Development in Ado Ekiti, Nigeria
( 78 ) Does Agricultural Sector Contribute to the Economic Growth in Case of Republic of Benin?
( 79 ) Uncertainties in Global Economic Policy and Nigerias Export Earnings
( 80 ) Public Health Expenditure, Economic Growth and Health Outcomes in Nigeria
( 81 ) External Debt and Economic Growth: Two-Step System GMM Evidence for Sub-Saharan Africa Countries
( 82 ) Impact of Exchange Rate Fluctuation on Selected Economic Sectors of the Nigerian Economy
( 83 ) The Colonialists & Indigenous Exchange Currency: Tracing the Genesis of Socioeconomic Woes in Postcolonial Nigeria
( 84 ) The Transitional Relationship between Economic Growth and Exchange Rate in Ghana: An Empirical Approach
( 85 ) Estimating the Economic Determinants of Technical Efficiency of Bioenergy in EU-28: An Application of Tobit Analysis
( 86 ) The Impact of Military Spending on Economic Wellbeing in Nigeria
( 87 ) The Relationship between Financial Development, Economic Growth, and Inflation: Evidence from Southeast Asia
( 88 ) German Exports, Economic Growth and Foreign Demand: An Analysis of the Period 2000–2017
( 89 ) Does External Borrowing Affect Economic Growth? A Revisit of the Age-Long Debate for Nigeria
( 90 ) Nexus between Non-Oil Sectoral Contribution and Economic Growth in Nigeria 1981-2018
( 91 ) Management of The CFA Franc: What are the Fundamentals of the Real Exchange Rate in West African Economic and Monetary Union (WAEMU)?
( 92 ) Investigating the Environmental Effects of Economic Growth in African Economies
( 93 ) Analysis of Causal Nexus between Defense Spending and Economic Growth in Nigeria: A Toda-Yamamoto Approach
( 94 ) The Impact of Social Media on Economic Growth: Empirical Evidence of Facebook, YouTube, Twitter and Pinterest
( 95 ) The Impact of Economic Growth, Oil Price, and Financial Globalization Uncertainty on Financial Development: Evidence from Selected Leading African Countries
( 96 ) The Effects of Macroeconomic Variables on Bank Default: A Case Study in Brazil
( 97 ) Deficit Financing Asymmetry and Nigerias Economic Growth: A Nonlinear Autoregressive Distributed Lag Approach
( 98 ) Impact of Savings on Economic Growth in Africa
( 99 ) Does Corruption Grease or Sand the Wheels of Economic Growth in Ghana? An ARDL Bounds Test
( 100 ) Fiscal Decentralization and Economic Growth: Assessing Public Policy in Ukraine
( 101 ) Socioeconomic Environment and Obesity on the US West and East Coasts
( 103 ) An Empirical Investigation of the Impact of FDI, Export and Gross Domestic Savings on the Economic Growth in Bangladesh
( 104 ) Exploring the Linkages between Remittances, Economic Growth and Poverty: Empirical Evidence from Pakistan
( 106 ) Contribution of Domestic Direct Investment and Direct Foreign Investment to Economic Growth in Indonesia Era Joko Widodo
( 107 ) Contribution of Ready-Made Garments Industry on the Economic Development of Bangladesh: An Empirical Analysis
( 121 ) Government Borrowing Behaviour: Implications for Private Sector Growth in Nigeria
( 124 ) Bancassurance - Growth Guaranteed in India
( 125 ) Development, Preference Change, and Inequality in an Integrated Walrasian-General-Equilibrium and Neoclassical-Growth Theory
( 126 ) The Impact of the Global Financial Crisis on the Debt, Liquidity, Growth, and Volume of Companies in Palestine Stock Exchange
( 128 ) Empirical Evidence on Municipal Tax Policy and Firm Growth
( 134 ) Public Sector Size and GDP Growth Nexus: Panel Data Estimation
( 138 ) Urban Population Growth and Environmental Sustainability in Nigeria
( 141 ) Satisfaction with Applications Fuels the Growth of Mobile Wallet Use in Thailand