Human Capital and Economic Growth in ARAB Countries - An Empirical Investigation by Using Dynamic Panel Data Models During the Period (1990-2014) -

Abstract

This paper will investigate the impact of human capital on economic growth in Arab countries, Using dynamic panel data models over the period 1990-2014 ; the adoption of the error correction models for Panel data indicate that, the existence of unit root tests and co-integration in panel data , all variables are integrated in first class, and the existence of a long-run equilibrium relationship between them. The Results indicate a positive and a significant relationship between human capital measured by enrolled in secondary education and economic growth in (PMGE) group.

We find also, a similar and high significance at 99% of all of the variables included in this study (labor, physical capital stock, inflation, population growth rate), and the economic growth corrects the imbalance equivalent (28%) of each period.