The interactive effect of trade and education on growth

Celine Kauffmann ()
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Celine Kauffmann: TEAM - Théories et Applications en Microéconomie et Macroéconomie - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique

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Abstract: This empirical study consists of an econometric test of the complementary effect of trade and education on long run growth. The tests are performed using a mixed specification built on the Benhabib and Spiegel [7] model and include an estimator of trade openness. Regressions are run on a long term panel data base (100 years, 10 OECD countries) reconciling the two data sets of Maddison [26] and Banks [4]. The results strongly support the existence of an interaction between trade and education which appears to promote catch-up between countries. Moreover, using a structural change test, I also show that such an interaction is not constant but hinges on the level of GDP per capita already attained by the economy.

Keywords: growth regressions; long run economic growth; interaction between human capital and trade openness; panel data estimations; croissance de long terme; complémentarité capital humain / ouverture économique; économétrie des données de panel (search for similar items in EconPapers)
Date: 2000-01
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-03721622
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Published in 2000

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