Decoding the Determinants of Human Capital Formation in Egypt: New Evidence from RALS-EG Cointegration Test and QARDL Technique

References

Acemoglu, Daron. 2010. Lecture Notes for Graduate Labor Economics, Vol. 14. Cambridge: MIT Department of Economics. http://economics.mit.edu/files/6343.Search in Google Scholar

Acemoglu, Daron, and James A. Robinson. 2012. Why Nations Fail: The Origins of Power, Prosperity and Poverty. New York: Crown Business.Search in Google Scholar

Acosta, Pablo, César Calderón, Pablo Fajnzylber, and J. Humberto López. 2007. “The Impact of Remittances on Poverty and Human Capital: Evidence from Latin American Household Surveys.” World Bank Policy Research Working Paper No. 4247. https://documents.worldbank.org/en/publication/documents-reports/documentdetail/4247.Search in Google Scholar

Adams Jr, Richard H., Alfredo Cuecuecha, John Page, and E. Lefoll. 2022. “The Impact of Remittances on Education in Egypt: New Evidence from Household Surveys.” World Development 158: 105968. https://doi.org/10.1016/j.worlddev.2022.105968.Search in Google Scholar

Adams Jr, Richard H., and John Page. 2005. “Do International Migration and Remittances Reduce Poverty in Developing Countries?” World Development 33 (10): 1645–69. https://doi.org/10.1016/j.worlddev.2005.05.004.Search in Google Scholar

Aghion, Philippe, Philippe Bacchetta, and Abhijit V. Banerjee. 1999. “Capital Markets and the Instability of Open Economies.” In CEPR Discussion Paper (2083). Centre for Economic Policy Research. Retrieved from: https://EconPapers.repec.org/RePEc:cpr:ceprdp:2083.10.1017/CBO9780511559587.011Search in Google Scholar

Aghion, Philippe, Richard Blundell, Rachel Griffith, Peter Howitt, and Susanne Prantl. 2009. “The Effects of Entry on Incumbent Innovation and Productivity.” The American Economic Review 99 (1): 20–32. https://doi.org/10.1257/aer.99.1.20.Search in Google Scholar

Ajayi, Stephen I., and Oluwole Moses. 2022. “Poverty Traps and Human Capital Accumulation in Fragile African States.” Journal of African Economies 31 (3): 345–67. https://doi.org/10.1093/jae/ejab021.Search in Google Scholar

Al-Sakka, Rasha, and George Naufal. 2023. “GCC Remittances and Human Capital Formation: Skill Transfer Versus Pure Income Effects.” Journal of Development Economics 162: 103120. https://doi.org/10.1016/j.jdeveco.2022.103120.Search in Google Scholar

Albanesi, Stefania, Giacomo De Giorgi, and Jaromir Nosal. 2023. “Inflation and Household Expenditure Composition: Evidence from Egypt.” Journal of Monetary Economics 134: 1–15. https://doi.org/10.1016/j.jmoneco.2022.11.003.Search in Google Scholar

Alfaro, Laura, Areendam Chanda, Sebnem Kalemli-Ozcan, and Selin Sayek. 2004. “FDI and Economic Growth: The Role of Local Financial Markets.” Journal of International Economics 64 (1): 89–112. https://doi.org/10.1016/S0022-1996(03)00081-3.Search in Google Scholar

Ali Shah, Syed Zulfiqar, Iftikhar S. H. Chaudhry, and Farhat Farooq. 2021. “Factors Affecting Human Capital in Southern Punjab: An Empirical Analysis.” Review of Education, Administration and Law 4 (1): 189–200. https://doi.org/10.47067/real.v4i1.125.Search in Google Scholar

Annabi, Nabil, Simon Harvey, and Yan Lan. 2011. “Public Expenditures on Education, Human Capital and Growth in Canada: An OLG Model Analysis.” Journal of Policy Modeling 33 (6): 852–65. https://doi.org/10.1016/J.JPOLMOD.2011.08.020.Search in Google Scholar

Assaad, Ragui, and Caroline Krafft. 2015. “Is Free Basic Education in Egypt a Reality or a Myth?”, International Journal of Educational Development (45): 16–30. https://doi.org/10.1016/j.ijedudev.2015.09.001.Search in Google Scholar

Assaad, Ragui, and Caroline Krafft. 2023. “Teacher Accountability and Education Quality: Evidence from Egypt’s Administrative Data.” Journal of Development Economics 162: 103067. https://doi.org/10.1016/j.jdeveco.2023.103067.Search in Google Scholar

Athey, Susan, and Guido W. Imbens. 2021. “Machine Learning Methods for Estimating Heterogeneous Causal Effects.” Econometrica 89 (5): 2211–63. https://doi.org/10.3982/ECTA17934.Search in Google Scholar

Azizi, Sajjad. 2018. “The Impacts of Workers’ Remittances on Human Capital and Labour Supply in Developing Countries.” Economic Modelling 75: 377–96.https://doi.org/10.1016/j.econmod.2018.07.011.Search in Google Scholar

Bareke, Mekonnen L., Berhanu H. Agezew, Negasi H. Dedho, Meseret F. Lebeta, Mulu M. Demissie, Birhanu M. Yimer, and Alemayehu H. Herut. 2021. “Determinants of Human Capital Development in Ethiopia: Implications to Education.” Policy Education Research International 2021: 6619674. https://doi.org/10.20944/preprints202206.0093.v1.Search in Google Scholar

Barro, Robert J. 1991. “Economic Growth in a Cross Section of Countries.” Quarterly Journal of Economics 106 (2): 407–43. https://doi.org/10.2307/2937943.Search in Google Scholar

Becker, Gary S. 1962. “Investment in Human Capital: A Theoretical Analysis.” Journal of Political Economy 70 (5): 9–49. https://doi.org/10.1086/258724.Search in Google Scholar

Boamah, John, Felix Atanga Adongo, Richmond Essieku, and John Amo Lewis Jr. 2018. “Financial Depth, Gross Fixed Capital Formation and Economic Growth: Empirical Analysis of 18 Asian Economies.” International Journal of Scientific and Education Research 2 (4): 120–30.10.2139/ssrn.3424688Search in Google Scholar

Brixiová, Zuzana, Mthuli Ncube, and Zorobabel Bicaba. 2021. “Institutional Reforms and Human Capital Recovery in Post-Pandemic North Africa.” In ERF Working Paper No. 1501. Economic Research Forum.Search in Google Scholar

CAPMAS. 2023. Annual Bulletin of Health Indicators for Children Under Five Years. Cairo: Central Agency for Public Mobilization and Statistics.Search in Google Scholar

Caselli, Francesco. 2005. “Accounting for Cross-Country Income Differences.” Handbook of Economic Growth 1 (A): 679–4. https://doi.org/10.1016/S1574-0684(05)01009-9.Search in Google Scholar

Catrinescu, Natalia, Miguel Leon-Ledesma, Matloob Piracha, and Bryce Quillin. 2009. “Remittances, Institutions, and Economic Growth.” World Development 37 (1): 81–92. https://doi.org/10.1016/j.worlddev.2008.02.004.Search in Google Scholar

Chami, Ralph, Connel Fullenkamp, and Samir Jahjah. 2005. “Are Immigrant Remittance Flows a Source of Capital for Development?” IMF Staff Papers 52 (1): 55–81. https://doi.org/10.2307/30035948.Search in Google Scholar

Chao, John C., Tae-Hwan Kim, and Yongcheol Shin. 2015. “Quantile Cointegration in the Autoregressive Distributed-Lag Modeling Framework.” Journal of Econometrics 188 (1): 281–300. https://doi.org/10.1016/j.jeconom.2015.05.003.Search in Google Scholar

Chevalier, Arnaud, Colm Harmon, Ian Walker, and Yu Zhu. 2003. “Does Education Raise Productivity, or Just Reflect It?” Economic Journal 113 (485): 499–517. https://doi.org/10.1111/j.1468-0297.2004.00256.x.Search in Google Scholar

Denison, Edward F. 1962. The Sources of Economic Growth in the United States and the Alternatives Before Us. New York: Committee for Economic Development.Search in Google Scholar

Dissou, Yazid, Selma Didic, and Tatsiana Yakautsava. 2016. “Government Spending on Education, Human Capital Accumulation, and Growth.” Economic Modelling 58: 9–21. https://doi.org/10.1016/j.econmod.2016.04.015.Search in Google Scholar

Durlauf, Steven N., and Lawrence E. Blume, eds. 2008. The New Palgrave Dictionary of Economics. 2nd ed. Basingstoke: Palgrave Macmillan.10.1007/978-1-349-58802-2Search in Google Scholar

Easterly, William, and Stanley Fischer. 2001. “Inflation and the Poor.” Journal of Money, Credit, and Banking 33 (2): 160–78. https://doi.org/10.2307/2673879.Search in Google Scholar

Elbadawi, Ibrahim, and Norman Loayza. 2022. “Labor Markets and Human Capital Accumulation in MENA: The Role of Institutional Rigidities.” The World Bank Economic Review 36 (3): 567–89. https://doi.org/10.1093/wber/lhac012.Search in Google Scholar

Elsharif, Mohamed Sharif Bashir, Adil Idris Mohamed Ali, and Ahlam Abdelhadi Hassan Elamin. 2024. “Human Capital and Economic Growth in Sub-Saharan African Countries: A Panel Data Analysis.” Journal of Economic Development Studies 30 (144): 45–67. https://doi.org/10.33095/kdgw1963.Search in Google Scholar

Engle, Robert F., and Clive W. J. Granger. 1987. “Co-integration and Error Correction: Representation, Estimation, and Testing.” Econometrica 55 (2): 251–76, https://doi.org/10.2307/1913236..Search in Google Scholar

Galor, Oded, and Omer Moav. 2004. “From Physical to Human Capital Accumulation: Inequality and the Process of Development.” The Review of Economic Studies 71 (4): 1001–26. https://doi.org/10.1111/0034-6527.00312.Search in Google Scholar

Githaiga, Joshua M., and Mercy Kilong. 2023a. “Remittances and Human Capital Development in Africa.” Journal of Economic Studies 50 (1): 123–41.Search in Google Scholar

Githaiga, Peter N., and Alice W. Kilong. 2023b. “Foreign Capital Flow, Institutional Quality and Human Capital Development in Sub-saharan Africa.” Cogent Economics & Finance 11 (1): 1–18. https://doi.org/10.1080/23322039.2022.2162689.Search in Google Scholar

Gomme, Paul. 1993. “Money and Growth Revisited: Measuring the Costs of Inflation in an Endogenous Growth Model.” Journal of Monetary Economics 32 (1): 51–77. https://doi.org/10.1016/0304-3932(93)90035-E.Search in Google Scholar

Hammouda, Mohamed, and Amit Khandelwal. 2024. “Measuring what Matters: Quality-Adjusted Education Metrics in Developing Economies.” Journal of Human Capital 18 (1): 45–78. https://doi.org/10.1086/728943.Search in Google Scholar

Hansen, Bruce E. 1999. “Threshold Effects in Non-Dynamic Panels: Estimation, Testing, and Inference.” Journal of Econometrics 93 (2): 345–68. https://doi.org/10.1016/S0304-4076(99)00025-1.Search in Google Scholar

Hanushek, Eric A., and Ludger Woessmann. 2008. “The Role of Cognitive Skills in Economic Development.” Journal of Economic Literature 46 (3): 607–68. https://doi.org/10.1257/jel.46.3.607.Search in Google Scholar

Heylen, Freddy, Anne Schollaert, Gerdie Everaert, and Lorenzo Pozzi. 2003. “Inflation and Human Capital Formation: Theory and Panel Data.” In Working Paper, Faculty of Economics and Business Administration. Ghent University. https://api.semanticscholar.org/CorpusID:264627272.Search in Google Scholar

Huang, Yi, Patrick Luk, and Liugang Sheng. 2023. “Quantile Cointegration in the Presence of Structural Breaks: Theory and Applications to MENA Economies.” Journal of Applied Econometrics 38 (3): 456–79. https://doi.org/10.1002/jae.2951.Search in Google Scholar

Jones, Larry E., and Rodolfo E. Manuelli. 1995. “Growth and the Effects of Inflation.” Journal of Economic Dynamics and Control 19 (8): 1405–28. https://doi.org/10.1016/0165-1889(94)00835-6.Search in Google Scholar

Jorgenson, Dale W., and Zvi Griliches. 1967. “The Explanation of Productivity Change.” The Review of Economic Studies 34 (3): 249–83. https://doi.org/10.2307/2296675.Search in Google Scholar

Kaboré, Souleymane, and Mthuli Ncube. 2024. “Patterns of Remittance Utilization in Human Capital Development: Comparing North and West Africa.” Journal of Development Studies 60 (2): 189–211. https://doi.org/10.1080/00220388.2023.2274321.Search in Google Scholar

King, Robert G., and S. Rebelo. 1990. “Public Policy and Economic Growth: Developing Neoclassical Implications.” Journal of Political Economy 98 (5): 126–50. https://doi.org/10.1086/261727.Search in Google Scholar

Koenker, Roger, and Kevin, F. Hallock. 2001. “Quantile Regression.” Journal of Economic Perspectives 15 (4): 143–56. https://doi.org/10.1257/jep.15.4.143.Search in Google Scholar

Kraay, Aart. 2018. “Methodology for a World Bank Human Capital Index.” In World Bank Policy Research Working Paper No. 8593. Washington: World Bank.10.1596/1813-9450-8593Search in Google Scholar

Lucas Jr, Robert E. 1988. “On the Mechanics of Economic Development.” Journal of Monetary Economics 22 (1): 3–42. https://doi.org/10.1016/0304-3932(88)90168-7.Search in Google Scholar

MacKinnon, James G. 1996. “Numerical Distribution Functions for Unit Root and Cointegration Tests.” Journal of Applied Econometrics 6: 601–18, https://doi.org/10.1002/(SICI)1099-1255.Search in Google Scholar

Mansour, Wael. 2023. “Digital Remittance Channels and Education Outcomes in MENA.” Journal of International Migration and Integration 24 (3): 1227–52, https://doi.org/10.1007/s12134-023-01032-w.Search in Google Scholar

Mincer, Jacob. 1958. “Investment in Human Capital and Personal Income Distribution.” Journal of Political Economy 66 (4): 281–302. https://doi.org/10.1086/258055.Search in Google Scholar

Mincer, Jacob. 1974. Schooling, Experience, and Earnings. New York: National Bureau of Economic Research.Search in Google Scholar

Ministry of Health and Population [Egypt]. 2022. Egypt Health Issues Survey. Cairo: Central Agency for Public Mobilization and Statistics (CAPMAS).Search in Google Scholar

Mino, Kazuo. 1997. “Long-Run Effects of Monetary Expansion in a Two-Sector Model of Endogenous Growth.” Journal of Macroeconomics 19 (4): 635–55. https://doi.org/10.1016/S0164-0704(97)00034-7.Search in Google Scholar

Minsky, Hyman P. 1975. John Maynard Keynes. Columbia University Press. https://www.scirp.org/reference/referencespapers?referenceid=1496288.10.1007/978-1-349-02679-1Search in Google Scholar

Mishra, Prachi, Sunil K. Mishra, and Deepti Kumari. 2019. “Quantile Regression: Applications and Methodological Advancements.” Journal of Econometric Methods 8 (1): 1–15. https://doi.org/10.1515/jem-2019-0001.Search in Google Scholar

Nelson, Richard R., and Edmund S. Phelps. 1966. “Investment in Humans, Technological Diffusion, and Economic Growth.” The American Economic Review 56 (1/2): 69–75.Search in Google Scholar

Patel, Girish, and M. S. Annapoorna. 2019. “Public Education Expenditure and Its Impact on Human Resource Development in India: An Empirical Analysis.” South Asian Journal of Human Resources Management 6 (1): 97–109. https://doi.org/10.1177/2322093718813407.Search in Google Scholar

Pecorino, Paul. 1995. “Inflation, Human Capital Accumulation and Long-Run Growth.” Journal of Macroeconomics 17 (3): 533–42. https://doi.org/10.1016/0164-0704(95)80067-0.Search in Google Scholar

Prais, Sigbert J., and Hendrik S. Houthakker. 2018. “The Analysis of Family Budgets.” Econometrica 21 (3): 1–66.Search in Google Scholar

Psacharopoulos, George, and Harry A. Patrinos. 2004. “Returns to Investment in Education: A Further Update.” Education Economics 12 (2): 111–34. https://doi.org/10.1080/0964529042000239140.Search in Google Scholar

Psacharopoulos, George, and Harry A. Patrinos. 2018. “Returns to Investment in Education: A Decennial Review of the Global Literature.” In Policy Research Working Paper (8402). The World Bank.10.1596/1813-9450-8402Search in Google Scholar

Ratha, Dilip, Supriyo De, Eung Ju Kim, Sonia Plaza, Ganesh Seshan, and Nadege Desiree Yameogo. 2021. Migration and Development Brief 34. The World Bank. https://www.scirp.org/reference/referencespapers?referenceid=3805588.Search in Google Scholar

Romer, Paul M. 1990a. “Endogenous Technological Change.” Journal of Political Economy 98 (5, Part 2): S71–S102. https://doi.org/10.1086/261725.Search in Google Scholar

Romer, Paul M. 1990b. “Human Capital and Growth: Theory and Evidence.” Carnegie-Rochester Conference Series On Public Policy 32: 251–85. https://doi.org/10.1016/0167-2231(90)90028-J.Search in Google Scholar

Schultz, Theodore W. 1960. “Capital Formation by Education.” Journal of Political Economy 68 (6): 571–83. https://doi.org/10.1086/258393..Search in Google Scholar

Schultz, Theodore W. 1961. “Investment in Human Capital.” The American Economic Review 51 (1): 1–17.Search in Google Scholar

Shin, Yongcheol, Byungchul Yu, and Matthew Greenwood-Nimmo. 2014. “Modelling Asymmetric Cointegration and Dynamic Multipliers in a Nonlinear ARDL Framework.” In Festschrift in Honor of Peter Schmidt, edited by Robin C. Sickles, and William C. Horrace, 281–314. New York: Springer. Available at SSRN: https://ssrn.com/abstract=1807745.10.1007/978-1-4899-8008-3_9Search in Google Scholar

Stock, James H., and Motohiro Yogo. 2005. “Testing for Weak Instruments in Linear IV Regression.” In Identification and Inference for Econometric Models: Essays in Honor of Thomas Rothenberg, 80–108. Cambridge: Cambridge University Press.10.1017/CBO9780511614491.006Search in Google Scholar

Suri, Tavneet, and William Jack. 2022. “Fintech and Household Resilience to Inflation Shocks: Experimental Evidence from Egypt.” American Economic Journal: Applied Economics 15 (2): 1–32. https://doi.org/10.1257/app.20200803.Search in Google Scholar

UNDP (United Nations Development Programme). 2021. Human Development Report 2021/2022*. New York: UNDP.Search in Google Scholar

United Nations Development Programme (UNDP). 2022. Human Development Report 2021/2022. New York: UNDP.Search in Google Scholar

Weil, David. 2007. “Accounting for the Effect of Health on Economic Growth.” Quarterly Journal of Economics 122 (3): 1265–306. https://doi.org/10.1162/qjec.122.3.1265.Search in Google Scholar

Were, Maureen. 2023. “Asymmetric Effects of Inflation on Education Investment: Evidence from Kenya and Nigeria.” World Development 161: 106127. https://doi.org/10.1016/j.worlddev.2022.106127.Search in Google Scholar

WHO. 2022. World Health Statistics: Monitoring Health for the SDGs. Geneva: World Health Organization. https://www.who.int/publications/i/item/9789240051157.Search in Google Scholar

Wooldridge, Jeffrey M. 2015. Introductory Econometrics: A Modern Approach, 5th ed. Nelson Education.Search in Google Scholar

World Bank. 2022. Migration and Development Brief 38: Remittances Resilient in 2022. Washington, DC: World Bank.Search in Google Scholar

World Bank. 2023. The Human Capital Index 2023 Update: Human Capital in the Recovery. Washington: World Bank. https://www.worldbank.org/en/publication/human-capital.Search in Google Scholar