Human Capital Investment and Economic Growth in Saudi Arabia: Error Correction Model
To examine the relationship between investment in human capital and economic growth in the Kingdom of Saudi Arabia for the period 1970-2014. Quantitative research design has been implemented. Granger Causality approach has been employed, followed by error correction model. The data stationarity and...
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| Format: | Article |
| Language: | English |
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EconJournals
2017-12-01
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| Series: | International Journal of Economics and Financial Issues |
| Subjects: | |
| Online Access: | https://dergipark.org.tr/tr/pub/ijefi/issue/32006/353521?publisher=http-www-cag-edu-tr-ilhan-ozturk |
| _version_ | 1797921896867561472 |
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| author | Abla A.H. Bokhari |
| author_facet | Abla A.H. Bokhari |
| author_sort | Abla A.H. Bokhari |
| collection | DOAJ |
| description | To examine the relationship between investment in human capital and economic growth in the Kingdom of Saudi Arabia for the period 1970-2014. Quantitative research design has been implemented. Granger Causality approach has been employed, followed by error correction model. The data stationarity and integration order have been tested, using the Augmented Dickey-Fuller. Any long-run or short-run causality was not observed between expenditure on education and economic growth (per capita GDP). 73.6% variation has been indicated by fixed capital formation of GNP, which is considered as an effective aspect. The results indicated that results are statistically significant with p-value (0.000) at 5% level of significance. Investment in human capital, with the right policy assessments and rehabilitation, can be translated into an essential element of growth in the Saudi economy. |
| first_indexed | 2024-04-10T14:22:42Z |
| format | Article |
| id | doaj.art-4c6c8d0234b14c2baac294e3b94d6d52 |
| institution | Directory Open Access Journal |
| issn | 2146-4138 |
| language | English |
| last_indexed | 2024-04-10T14:22:42Z |
| publishDate | 2017-12-01 |
| publisher | EconJournals |
| record_format | Article |
| series | International Journal of Economics and Financial Issues |
| spelling | doaj.art-4c6c8d0234b14c2baac294e3b94d6d522023-02-15T16:09:14ZengEconJournalsInternational Journal of Economics and Financial Issues2146-41382017-12-01741041121032Human Capital Investment and Economic Growth in Saudi Arabia: Error Correction ModelAbla A.H. BokhariTo examine the relationship between investment in human capital and economic growth in the Kingdom of Saudi Arabia for the period 1970-2014. Quantitative research design has been implemented. Granger Causality approach has been employed, followed by error correction model. The data stationarity and integration order have been tested, using the Augmented Dickey-Fuller. Any long-run or short-run causality was not observed between expenditure on education and economic growth (per capita GDP). 73.6% variation has been indicated by fixed capital formation of GNP, which is considered as an effective aspect. The results indicated that results are statistically significant with p-value (0.000) at 5% level of significance. Investment in human capital, with the right policy assessments and rehabilitation, can be translated into an essential element of growth in the Saudi economy.https://dergipark.org.tr/tr/pub/ijefi/issue/32006/353521?publisher=http-www-cag-edu-tr-ilhan-ozturkeconomic growth human capital error correction model |
| spellingShingle | Abla A.H. Bokhari Human Capital Investment and Economic Growth in Saudi Arabia: Error Correction Model International Journal of Economics and Financial Issues economic growth human capital error correction model |
| title | Human Capital Investment and Economic Growth in Saudi Arabia: Error Correction Model |
| title_full | Human Capital Investment and Economic Growth in Saudi Arabia: Error Correction Model |
| title_fullStr | Human Capital Investment and Economic Growth in Saudi Arabia: Error Correction Model |
| title_full_unstemmed | Human Capital Investment and Economic Growth in Saudi Arabia: Error Correction Model |
| title_short | Human Capital Investment and Economic Growth in Saudi Arabia: Error Correction Model |
| title_sort | human capital investment and economic growth in saudi arabia error correction model |
| topic | economic growth human capital error correction model |
| url | https://dergipark.org.tr/tr/pub/ijefi/issue/32006/353521?publisher=http-www-cag-edu-tr-ilhan-ozturk |
| work_keys_str_mv | AT ablaahbokhari humancapitalinvestmentandeconomicgrowthinsaudiarabiaerrorcorrectionmodel |