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Health, Education and Economic Growth:-Evidence from Sub-Saharan Africa (Dynamic panel analysis)

Author: 
Temesgen Yaekob Ergano
Subject Area: 
Social Sciences and Humanities
Abstract: 

The economic performance in Sub-Saharan Africa has been insignificant, particularly in comparison with other developing regions like East Asia. Using a panel data for 19 Sub-SaharanAfrican countries for the period 1995-2014, this study investigates the relation of health and education sector investment on the Economic growth of the SSA Countries. Employing the theoretical model based on an augmented Solow growth model; by using the newly developed panel ARDL co-integration econometric strategy. The result shows that health investment has not significantly driven economic performance whereas Education spending is negatively affect performance of sub-Saharan Africa. Accounting for the effect life expectance at the birth, however resulted in a significant positive effect on economic growth. Researcher further found that, the obverse seems rather plausibly the case, as economic growth significantly increases life expectancy in the countries. The results suggest that, other factors affecting growth in the region would indirectly improve on the health status of the population of SSA.

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