Article Metrics

Article abstract view : 9844 times
PDF full text: 3319 times

Human Development and Its Effects on Economic Growth and Development

Michael Appiah, Richard Amoasi, Doreen Idan Frowne


The focus of the current study is to empirically examine the impact of Human Development on Economic Growth and Development in African countries, between 1990 and 2015. The key findings and results of the study suggested the existence of a positive and significant impact of human development on economic growth and development in Africa. The study employed Human Development Index as the main variable of interest with GDP considered as the dependent variable with inflation, capital, investment and labor as control variables. The study also came out with the findings that Labour and foreign aid also have a positive and significant relationship with growth as recorded by most researchers. It was recommended that more efforts should be placed on developing human capacities in all areas.

Human development, economic growth, random effect, fixed effect

* Department of Management Science & Engineering, School of Finance and Economics, Jiangsu University, 301 Xuefu Road, Zhenjiang, Jiangsu, 212013, P.R. China
** Department of Marketing, Koforidua Technical University, P. O. Box Kf 98, Koforidua, Ghana

Full Text:



Agarwal, P. (2006). Higher education in India: The need for change. Retrieved from

Barro, R. J. (1995). Inflation and economic growth. Retrieved from

Barro, R. J., Sala-i-Martin, X. J. N. Y., London, & McGraw-Hill, M. (1995). Economic growth, advanced series in economics.

Bende-Nabende, A., Ford, J. L., Slater, J., Sen, S. J. T. A. P. J. o. E., & Business. (2002). Foreign direct investment in East Asia: trends and determinants. 6(1), 4.

Bengoa, M., & Sanchez-Robles, B. J. E. j. o. p. e. (2003). Foreign direct investment, economic freedom and growth: new evidence from Latin America. 19(3), 529-545.

Benhabib, J., & Spiegel, M. M. J. J. o. M. e. (1994). The role of human capital in economic development evidence from aggregate cross-country data. 34(2), 143-173.

Blomstrom, M., Lipsey, R. E., & Zejan, M. (1993). Is fixed investment the key to economic growth? Retrieved from

Borensztein, E., De Gregorio, J., & Lee, J.-W. J. J. o. i. E. (1998). How does foreign direct investment affect economic growth? 1. 45(1), 115-135.

Burnside, C., & Dollar, D. J. A. e. r. (2000). Aid, policies, and growth. 90(4), 847-868.

Daniela-Mihaela, N., & Oana-Georgiana, C. J. A. o. t. C. B. U. o. T. J. E. S. (2015). Correlations between human development and economic growth. (1), 121.

Dreze, J., & Sen, A. (2002). India: Development and participation: Oxford University Press, USA.

Fatah, F. A., Othman, N., Abdullah, S. J. I. J. o. B., & Science, S. (2012). Economic growth, political freedom and human development: China, Indonesia and Malaysia. 3(1).

Fukuda-Parr, S. J. F. e. (2003). The human development paradigm: operationalizing Sen's ideas on capabilities. 9(2-3), 301-317.

Ghosh, M. J. E., & Weekly, P. (2006). Economic growth and human development in Indian states. 3321-3329.

Gokal, V., & Hanif, S. (2004). Relationship between inflation and economic growth: Economics Department, Reserve Bank of Fiji.

Grubaugh, S. G. J. A. E., & Development, I. (2015). Economic growth and growth in human development. 15(2), 5-16.

Hansen, H., & Tarp, F. J. J. o. d. E. (2001). Aid and growth regressions. 64(2), 547-570.

Herman, E. J. T. R. E. J. (2011). The impact of economic growth process on employment in European Union countries. 14(42), 47-67.

Hopkins, M. J. W. D. (1991). Human development revisited: A new UNDP report. 19(10), 1469-1473.

Jones, L. E., Manuelli, R. E. J. J. o. E. D., & Control. (1995). Growth and the effects of inflation. 19(8), 1405-1428.

Kendrick, J. W. J. C. t. e. a. (1993). How much does capital explain? , 214, 129-129.

Khan, A. R. (2007). Growth, employment and poverty: An analysis of the vital nexus based on some recent UNDP and ILO/SIDA studies: UN.

Levine, R. R., David. ((1992)). A Sensitivity Analysis of Cross-Country Growth Regressions. American Economic Review.

Lucas, R. E., Wheeler, D., & Hettige, H. (1992). Economic Development, Environmental Regulation, and the International Migration of Toxic Industrial Pollution, 1960-88 (Vol. 1062): World Bank Publications.

Manh, P. H., Dao, H. T. T., & Van Ngoc, N. J. J. o. E. D. (2014). Relationship between economic growth and employment in Vietnam. (JED, No. 222), 40-50.

Maqin, R. A., Sidharta, I. J. I. J. o. E. E., & Policy. (2017). The relationship of economic growth with human development and electricity consumption in Indonesia. 7(3), 201-207.

Minoiu, C., Reddy, S. G. J. T. Q. R. o. E., & Finance. (2010). Development aid and economic growth: A positive long-run relation. 50(1), 27-39.

OECD/UNESCO. (2002). Financing Education-Investment and Returns: An Analysis of

the World Education Indicators. and

Pollin, R., & Zhu, A. J. J. o. p. K. e. (2006). Inflation and economic growth: A cross-country nonlinear analysis. 28(4), 593-614.

Ramirez, A., Ranis, G., & Stewart, F. (1997). Economic growth and human development. Retrieved from

Ranis, G. (2004). Human development and economic growth. (887).

Ranis, G., & Stewart, F. (2005). Dynamic links between the economy and human development: UN.

Ranis, G., Stewart, F., & Ramirez, A. J. W. d. (2000). Economic growth and human development. 28(2), 197-219.

Ranis, G., Stewart, F. J. J. o. H. D., & Capabilities. (2012). Success and failure in human development, 1970–2007. 13(2), 167-195.

Romer, P. M. J. J. o. E. p. (1994). The origins of endogenous growth. 8(1), 3-22.

Saksena, S., & Deb, M. (2016). Economic Growth and Human Development in Indian States after two decades of Economic Reforms.

Solow, R. M. J. T. q. j. o. e. (1956). A contribution to the theory of economic growth. 70(1), 65-94.

Srinivasan, T. J. F. R. I. S. (1978). Development, poverty, and basic human needs: some issues [India].

Stiglitz, J. E., Sen, A., & Fitoussi, J.-P. J. O. d. h. b. l. J. A. J. (2009). Measurement of economic performance and social progress. 26, 2012.

Su, Y., & Liu, Z. J. C. E. R. (2016). The impact of foreign direct investment and human capital on economic growth: Evidence from Chinese cities. 37, 97-109.

Suri, T., Boozer, M. A., Ranis, G., & Stewart, F. J. W. D. (2011). Paths to success: The relationship between human development and economic growth. 39(4), 506-522.

Voivodas, C. S. J. J. o. i. E. (1973). Exports, foreign capital inflow and economic growth. 3(4), 337-349.

Wilson, P. A. J. U. s. (1996). Empowerment: Community economic development from the inside out. 33(4-5), 617-630.


International Research Journal of Business Studies has been covered by the following services:

Image result for university of Saskatchewan small logo