Education and Economic Growth in Iran

Publish Year: 1395
نوع سند: مقاله کنفرانسی
زبان: English
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شناسه ملی سند علمی:

ICOEM01_208

تاریخ نمایه سازی: 25 آذر 1395

Abstract:

It has been discussed, during recent years, which of education levels can help stable growth in Iranianeconomy. Some have focused on investing in high education while others, regarding developmentconcept, insist on elementary education. This essay surveys interactive effect between education andeconomic growth in Iran during 1979-2010. In estimating long-term relation between these variables,we have used Johansen co-integration test. Furthermore, for estimating two-, three- and four-variablecausal relation we have used Granger causal test. The results show that different levels of educationhave a positive effect on economic growth, while economic growth has a positive effect only on adultliteracy rate and the number of university students. Granger causal test shows two-sided causal relationbetween adult literacy rate and economic growth. In addition, causal relation in other education levels isone-sided from education to economic growth.

Authors

Mehrzad Ebrahimi

Assistant Professor, Department of Economics and Management, Shiraz Branch, Islamic Azad University, Shiraz, Iran

Ali Arshadi

Faculty member of monetary and research academy of central bank of Iran

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