EconPapers    
Economics at your fingertips  
 

Productive Contribution of Public Spending and Human Capital in Developing Countries Revisited: The Role of Trade Openness

Thanh Su and Canh Nguyen ()

Foreign Trade Review, 2022, vol. 57, issue 1, 66-84

Abstract: This study examines the catalytic role of trade openness in the relationships between human capital and public spending and total factor productivity (TFP) growth in 44 developing countries over the 1980–2014 period. Applying various estimation techniques to deal with autocorrelation, heteroscedasticity and cross-section dependence, the study finds that (a) the effect of human capital on TFP is nonlinear, (b) government consumption positively affects TFP but military spending is a negative factor and (c) trade openness significantly improves the positive influences of these factors on TFP. The results imply the important role of trade liberalisation in productivity evolution in developing countries. JEL Codes: F43, H52, O47

Keywords: Public spending; human capital; trade openness; total factor productivity; developing countries (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/00157325211045471 (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:sae:fortra:v:57:y:2022:i:1:p:66-84

DOI: 10.1177/00157325211045471

Access Statistics for this article

More articles in Foreign Trade Review
Bibliographic data for series maintained by SAGE Publications ().

 
Page updated 2023-01-08
Handle: RePEc:sae:fortra:v:57:y:2022:i:1:p:66-84