Impact of Trade Openness and Human Capital on Economic Growth: A Case Study of China

Dr. Syed Wahid Ali, Tariq Khalid and Dr. Sana Fayyaz
Additional contact information
Dr. Syed Wahid Ali: Assistant Professor, Department of Economics, Bahauddin Zakariya University Sub-Campus Vehari, Pakistan
Tariq Khalid: Lecturer, Department of Economics, Bahauddin Zakariya University Sub-Campus Vehari, Pakistan
Dr. Sana Fayyaz: Assistant Professor, Department of Economics, Bahauddin Zakariya University Sub-Campus Vehari, Pakistan

Bulletin of Business and Economics (BBE), 2025, vol. 13, issue 3, 683-686

Abstract: This study examines the impact of trade openness and human capital on economic growth in China. The Autoregressive Distributed Lag cointegration model (ARDL) and CUSUM-of-squares test are used for data duration 1990-2023. Main results of the study show that trade openness and human capital are positively correlated with economic growth. Human capital is considered one of the most profitable assets in the country's economy, While, the country’s economy does not directly affect by trade openness. To enhance economic growth, the following suggestions can be made 1) reduce Trade Barriers like Lower tariffs, quotas, and other trade restrictions to facilitate international trade. 2) Increase funding for primary, secondary, and tertiary education to raise the average years of schooling and literacy rates. 3) Implement policies that improve ease of doing business, such as reducing bureaucratic red tape and enhancing legal protections for investors.

Keywords: GDP; trade openness; human capital; labor force; inflation (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://bbejournal.com/index.php/BBE/article/view/1072/1218 (application/pdf)
https://bbejournal.com/index.php/BBE/article/view/1072 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:rfh:bbejor:v:13:y:2025:i:3:p:683-686

Access Statistics for this article

Bulletin of Business and Economics (BBE) is currently edited by Dr. Muhammad Irfan Chani

More articles in Bulletin of Business and Economics (BBE) from Research Foundation for Humanity (RFH) Contact information at EDIRC.
Bibliographic data for series maintained by Dr. Muhammad Irfan Chani ( this e-mail address is bad, please contact ).