A study on the rate of contribution of education investment to the economic growth in China

Front. Educ. China ›› 2006, Vol. 1 ›› Issue (4) : 521 -532.

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Front. Educ. China ›› 2006, Vol. 1 ›› Issue (4) : 521 -532. DOI: 10.1007/s11516-006-0027-y

A study on the rate of contribution of education investment to the economic growth in China

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Abstract

There is an evident bi-directional causality relationship between education investment and economic growth based on an analysis of statistics from 1952 to 2003 released by the State Statistics Bureau. A generalized difference regression model is set up to investigate the relationship between the two. Studies show that the rate of contribution of education investment to economic growth was 24.4 percent from 1952 to 2003. Further examination indicates that after the market-oriented economy restructuring, this rate increased by a wide margin of 7 percent, from 22.8 percent to 29.7 percent.

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education investment, economic growth, contribution rate

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null. A study on the rate of contribution of education investment to the economic growth in China. Front. Educ. China, 2006, 1(4): 521-532 DOI:10.1007/s11516-006-0027-y

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