Human Capital, Exports, and Economic Growth: A Causality Analysis for Taiwan, 1952–1995

Yih‐chyi Chuang

Review of International Economics, 2000, vol. 8, issue 4, 712-720

Abstract: By using cointegration and error‐correction representation methodology, this paper tested the causal relationship among human capital accumulation, exports, and economic growth using data pertaining to Taiwan’s real GDP, real exports, and higher education attainment over the period 1952–95. The main findings of the paper are that human capital accumulation fosters growth and stimulates exports, while exports promote long‐run growth by accelerating the process of human capital accumulation. Taiwan’s case study thus supports the human capital‐based endogenous growth theory and the export‐led growth hypothesis.

Date: 2000
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