Health, Education and Economic Growth Nexus: Evidence from Middle Income Countries

Abstract

Health and education are indispensable factors for economic growth. This study examines the role of health and education in economic growth for 76 middle income countries during 1991-2016, using fixed and random effect approaches. The empirical findings demonstrates that a progressive link among life expectancy and economic growth while inverse association exists between infant mortality and economic growth. The outcomes of FE and RE models stated that secondary and tertiary level education contribute to increase in economic growth. The results also shows capital's encouraging impact on growth, while the labor has negative influence to economic growth. The impact of life expectancy, infant mortality, enrollment in secondary and tertiary education on economic growth is stronger in upper middle income countries (UMIC) with comparison to lower middle income countries (LMIC). The study recommended that economies should focus on education and better health facilities towards betterment especially in lower income states.

Longevity and Economic Growth in China and India Using a Newly Developed Bootstrap ARDL Model

“…The independent variables are negatively related to economic growth ( 20 ). Our findings do not aligning with those of Arora ( 37 ), Becker et al ( 3 ), Bloom and Canning ( 36 ), Murphy and Topel ( 38 ), Aghion et al ( 39 ), Swift ( 40 ), Jones and Klenow ( 41 ), Siddique et al ( 42 ), and Gallardo-Albarrán ( 2 ), who all assert that economic growth positively affects longevity. Empirically, life expectancy at birth also negatively and significantly affects alcohol consumption in China.…”

“…Bloom and Canning (36) document health improvements with labor market participation. Various studies such as (2,3,(36)(37)(38)(39)(40)(41)(42) imply that longevity contributes to commercial development. Aghion et al (39) indicate that long life expectancy encourages growth with healthier individuals who adjust to newer technologies.…”

“…Jones and Klenow ( 41 ) used consumption, leisure, mortality, and inequality to evaluate a country's economic well-being, showing that deviations are large where welfare is highly related to GDP. Siddique et al ( 42 ), using fixed and random effect approaches, reviewed the role of education and health in terms of economic advancements in 76 middle-income countries, from 1991 to 2016, showing a link between longevity and economic expansion, while the opposite is true for child mortality. These studies have not been supported by research from Soares ( 43 ) who argues that economic expansion and longevity are now progressively disjointed, especially in numerous underprivileged countries around the world.…”

The Effect of Education and Health Care Expenditure on GDP in Eu Countries

“…Representatives of the second outlook give argue for the importance and significance of the impact of social spending on the dynamics of economic growth. A large-scale study on the role of health and education in economic growth was conducted by Siddique et al (2008). They analysed the pragmatics of 76 middle-income countries during 1991-2016 using fixed and randomized effects models.…”

Terrorism and International Tourism Nexus: Evidence From Pakistan

“…Gross primary enrollment rate is used for human capital (HK). Increasing investment in human capital through increased enrollment in secondary and higher education institutions degree will increase GDP growth (Siddique et al, 2018). Natural logarithm of gross primary enrollment ratio is used in the present study.…”