Government Spending In Education Research Articles

DOES ECONOMIC INTEGRATION INCREASE FEMALE LABOUR FORCE PARTICIPATION? SOME NEW EVIDENCE FROM VIETNAM

While several studies have, directly or indirectly, showed the importance of economic integration in job creation and destruction, direct empirical evidence for Female Labor Force Participation (FLFP) is still sparse. We take the case of Vietnam – a country that has come out of poverty largely due to her export-induced economic growth – and examine the impacts on FLFP of economic integration over the period 1999-2014. Our results suggest that Vietnam’s export sector, which relies heavily on foreign direct investment and free trade agreements, is an important contributor to FLFP. Economic integration with high-income countries (compared to middle- and low-income countries) was found to be most beneficial to FLFP in Vietnam. Our results also indicate that some traditional drivers of FLFP (such as fertility rate, health status, female adolescents out of secondary school, government education spending, and standard of living) became more (or less) important as Vietnam became more economically integrated.

Does government education expenditure boost intergenerational mobility? Evidence from China

This article assesses the relationship between government education spending and intergenerational mobility using parent-child pair information from the China Family Panel Studies (CFPS) and data on government education expenditure from the China Educational Finance Statistical Yearbook, Provincial Statistical Yearbook and China City Statistical Yearbook. We introduced family classification (chengfen) as the instrumental variable for permanent income and used child income for the age bracket 23–40 as the approximation for lifetime earnings to minimize estimation bias. We found that the intergenerational elasticity in China is about 0.384 and the government education expenditure boosted the intergenerational mobility. Moreover, we estimated the absolute mobility in China. And our analysis pointed to the importance of government spending in increasing the intergenerational mobility of underdeveloped family and improving equality of opportunity in China.

OECD ÜLKELERİNDE ÖZEL TÜKETİM VERGİ GELİRİ VE DEVLET HARCAMALARI ARASINDAKİ NEDENSELLİK

The aim of this study is to examine the relationship between excise taxes revenues and government spending areas in OECD countries. Panel data causality analyzes were performed for 20 OECD member countries using yearly data for the 1995-2016 period to investigate the relationship between government spending in education, health, public services, defense, and social protection areas and excise tax revenues. At the end of the analysis, two-way causality relationship between excise tax and defense, education, health, general public services, and social protection spending have been observed. The results support both the spend- tax hypothesis and the tax-spend hypothesis. Furthermore, the tax-spend hypothesis is stronger in social protection spending and the spend-tax hypothesis is stronger in general public spending. Health spending strongly supports two hypotheses. It can be interpreted that the increases in defense, education, and general public services spending in the economies of OECD countries are financed by an increase in excise tax revenues. The bi-directional causality between health spending and excise tax revenue shows that both the increased excise tax revenue is directed towards health spending and excise revenues are used to cover health spending.

The Military in Politics and Democracy: Its Impact on Government Spending for Education and Health

ObjectiveThere is considerable debate over the determinants of government spending, but few studies have considered the impact of the military in politics. This article examines how the military in politics and democracy and the interaction between them might affect the allocation of government spending.MethodsI use a variety of econometric specifications, including pooled‐OLS, panel data with random effects and fixed effects estimation, and a panel data set of 129 countries from 1984 and 2013. Further, the SGMM estimator is used to check for robustness.ResultsThe empirical results show that the military in politics has a significant negative impact on education spending. The results also indicate that the interaction between the military in politics and democracy has a positive impact on government spending for education and health.ConclusionThe results suggest that policies to reduce military involvement in politics, combined with those to increase civilian control of the military, would have a considerable impact on social development.

Minimum Spending in Education and the Flypaper Effect

Education funds in Brazil comprise local revenue and intergovernmental transfers. This study analyzes the importance of budget structure on government spending in education by estimating the effects of two characteristics of the fiscal arrangement: (i) a minimum spending rule, and (ii) a set of intergovernmental transfers. The minimum spending rule has increased educational spending only for municipalities that were below the minimum; for those above the minimum, we find a negative effect of the rule. Whereas our results indicate that the minimum rule has increased investments in low-spending municipalities, it has not affected spending in personnel for high-spending ones. We then analyze whether the sources of funds matter to government spending by estimating the flypaper effect of intergovernmental transfers using an instrumental variable method. We find a significant flypaper effect for redistribution transfers. Interestingly, we do not find flypaper effect for other types of intergovernmental transfers.

KETIMPANGAN PENDIDIKAN DAN PENDAPATAN DI INDONESIA

AbstractThis study aims to determine the factors of educational and income inequality decreased in Indonesia. Several factors affect education inequality and income inequality such as government spending in education and urbanization. The data used are secondary data in the form of panels for the period 2010 to 2017 as many as 33 provinces in Indonesia. The research method used is 2SLS (two stage least squares) with fixed effects selected as the best parameter estimation method. The results of this study explain income inequality is influenced by education inequality variables and income inequality lag, which is significantly positive while per capita economic growth and urbanization variables do not have a significant effect on income inequality that occurs in Indonesia. While educational inequality is influenced by government spending in education and urbanization with a significant negative effect and lag of educational inequality has a significant positive effect on educational inequality. The income inequality has an insignificant effect on educational inequality.Keywords: income inequality; educational inequality; 2SLS

Public Expenditure for Education and Economic Growth in Vietnam

This research provides empirical evidence of impact of public expenditure for education on economic growth in Vietnam from 2000 to 2015. In addition, effect of human capital quality is also attacted into the research to examine its impact on economic growth. Specifically, for relating performance of government expenditure for education, we choose enrolment number of pre-primary school, enrolment number of primary school, enrolment number of lower secondary school, enrolment of upper secondary school, percentage of high school graduation as education’s performance. Moreover, we aslo estimate the impact of percentage of government expenditure of GDP for health on GDP growth. Firstly, we estimate the relationship of government capital and regular expenditure for education, its performance mentioned above and human capital quality (HDI as proxy). Secondly, we test the impact of all explanatories of model 1 including HDI plus percentage of government expenditure of GDP for health on GDP growth. Consequently, the first model shows that enrolment number of pre-primary school and regular government spending for education have positive relationship with HDI, whereas, capital spending for education shows negative relationship. For the second model, enrolment number of lower secondary school, enrolment number of primary school, capital expenditure of public budget for education, and HDI are related positively to GDP growth. On the other hand, enrolment number of pre-primary school, percentage of high school graduation, and regular spending for education move negatively way with GDP growth. Keywords : HDI, government expenditure, GDP growth, enrolment DOI: 10.7176/JESD/11-6-06 Publication date: March 31 st 2020

The Effects of Government Education Spending on School Enrollment in Indonesia

Government expenditure for education increases every year for the implementation of education sector including to increase the number of enrollment rate. However, there are some children who do not enroll in school especially senior high school-aged children. This study examines the effects of government spending on education on school enrollment in Indonesia. This research uses cross-sectional data from the National Socioeconomic Survey (Susenas) and the government spending on education data for four years. This study uses probit model by employing the government education spending as the main factor. The control variables used in this study consist of parents’ education, household expenditure, male, urban, birth order, the number of siblings, missing parent, GRDP per capita, year dummy, and interaction terms among some variables. The observation is divided into two groups of age: 7-15 and 16-18. The results show that the government education spending has a positive and significant effect on school enrollment in Indonesia. In addition, the interaction terms show that the government education spending is associated with greater probability of school enrollment for poor children and for the girls.

Financial crises and the attainment of the SDGs: an adjusted multidimensional poverty approach

This paper analyses the impact of financial crises on the Sustainable Development Goal of eradicating poverty. To do so, we develop an adjusted Multidimensional Poverty Framework (MPF) that includes 15 indicators that span across key poverty aspects related to income, basic needs, health, education and the environment. We then use an econometric model that allows us to examine the impact of financial crises on these indicators in 150 countries over the period 1980–2015. Our analysis produces new estimates on the impact of financial crises on poverty’s multiple social, economic and environmental aspects and equally important captures dynamic linkages between these aspects. Thus, we offer a better understanding of the potential impact of current debt dynamics on Multidimensional Poverty and demonstrate the need to move beyond the boundaries of SDG1, if we are to meet the target of eradicating poverty. Our results indicate that the current financial distress experienced by many low-income countries may reverse the progress that has been made hitherto in reducing poverty. We find that financial crises are associated with an approximately 10% increase of extreme poor in low-income countries. The impact is even stronger in some other poverty aspects. For instance, crises are associated with an average decrease of government spending in education by 17.72% in low-income countries. The dynamic linkages between most of the Multidimensional Poverty indicators, warn of a negative domino effect on a number of SDGs related to poverty, if there is a financial crisis shock. To pre-empt such a domino effect, the specific SDG target 17.4 on attaining long-term debt sustainability through coordinated policies plays a key role and requires urgent attention by the international community.

Faktor-faktor Yang Mempengaruhi AHH Provinsi Bali

The degree of public health can be measured by looking at the amount of Life Expectancy (AHH). AHH is the result of calculating projections often used as one of the People's Welfare Indicators (IKR). Assuming a declining trend in infant mortality rates (IMR) and changes in the population's age composition, the objectives in this study are: 1) to analyze the effect of income per capita, government spending in education, and health simultaneously affect life expectancy in Bali Province / City in the 2011-2017 period and 2) to analyze the effect of per capita income, government spending the education and health sector influences the life expectancy in the Regency / City of Bali Province in the 2011-2017 period. The data used in this study is secondary data in 2011-2017. This study uses Multiple Linear Regression analysis techniques used to process classical assumption test data using Eviews 9. The results of this study stated that the variable income per capita (X1), government expenditure in education (X2), and government expenditure in health (X3) simultaneously affected the life expectancy (Y) in districts/cities in Bali Province. Partially per capita income has a positive and significant impact on life expectancy. Government expenditure in education and government expenditure in health does not affect life expectancy in Bali Province districts/cities.

Characteristic of Human Development: Socio-economic Dimension

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Financing Education: An Overview of Education in Sierra Leone

Education is the strongest pillar for the development of any nation. So also, education is one of the profound problems of many developing countries like Sierra Leone. Educational system provide a step by step knowledge to the young children according to their developmental stages. Every nation therefore gives priority for the promotion of education country wide. The challenge faced by Sierra Leone is not only restricted to the lack of budget for the education sector but is significantly linked with the way public financing is planned, managed and monitored. In brief, this paper is an overview of the government financing of Education in Sierra Leone. The paper starts by giving an understanding of Educational Background, Education Systems, and the Structure of Education in Sierra Leone. For clarity of the subject of Financing Education, a review of knowledge catalogues in brief the colonial legacy, relevant of public financing, Resources Management in schools and colleges in Sierra Leone. The paper made a brief flash back analysis of key education sector plans on education in the previous years. For better understanding, the paper then figures out the implication of financing Education, Government spending in Education, household contribution of funding Education, External donors to education, and flow of Resources in schools in Sierra Leone.

How to evaluate the effects of IMF conditionality

Following calls for a more disaggregated approach to studying the consequences of IMF programs, scholars have developed new datasets of IMF-mandated policy reforms, or ‘conditionality.’ Initial studies have explored how conditions have, inter alia, affected tax revenues, public sector wages, and health systems. Notwithstanding the important contributions of these studies, a methodological quandary arises as to how to quantitatively examine the effects of conditionality, as distinct from other aspects of IMF operations (e.g., credit, technical support, or aid and investment catalysis). In this article, we review and advance these methodological debates by developing an identification strategy for addressing the multiple endogenous components of IMF programs. We begin by surveying the main strategies for studying the effects of IMF programs: matching methods, instrumental variable approaches, system GMM estimation, and variants of Heckman estimators. We then adapt these methods for studying the effects of conditionality per se. Specifically, we utilize a compound instrumental variable design over a system of three equations to address sources of endogeneity related to, first, the IMF participation decision and, second, the conditions included within the program. In Monte Carlo simulations, we demonstrate that our approach is unbiased and performs better than alternatives on standard diagnostics across a range of scenarios. Finally, we apply these methods to investigate how IMF programs impact government education spending as a share of GDP on a sample of 132 developing countries for the period 1990 to 2014, finding exposure to an additional condition results in a 0.05 percentage point decline.

Growth, Inequality, and Poverty: An Analysis of Pro-Poor Growth in Indonesia

In the concept of pro-poor growth, economic growth accompanied by fair income distribution will accelerate the rate of poverty reduction. By employing extensive data of household expenditures and other economic indicators, the study will examine the performance of economic growth in Indonesia whether it has been pro-poor over the period 2005-2013. We employ two methods in this article, Growth Incidence Curve (GIC) method, and Pro-Poor Growth Index (PPGI) method. By applying the GIC method, our empirical results indicate that economic growth in Indonesia has not been pro-poor during the observed period. The curve shows that the highest income population enjoys increased consumption more than the poorest population. Furthermore, PPGI method has revealed that economic growth, inequality, and an interaction term between economic growth and inequality have been significant to influence poverty incidence in Indonesia. Our empirical result also reveals that among manufacturing, agriculture, and services sector; it was manufacturing that has successfully reduced the number of the poor, while agriculture unexpectedly had a devastating impact on the number of poor people. The services sector, meanwhile, had not contributed to poverty alleviation. Furthermore, none of the government spending in education and health that significantly contributes to poverty alleviation.

Natural resource curse in oil exporting countries: A nonlinear approach

This paper aims at extending the concept of conditional natural resource curse and examining the quantity as well as the quality of public spending as the main drivers of the oil curse in oil exporting countries. Using nonlinear threshold models, there is evidence in favor of non-linear relationship between oil incomes and economic performances. We show that highly oil dependent countries are more likely to experience inefficiencies in government decision and, by extension, oil revenues misallocation leading to underdevelopment. Relying on human capital as the mirror of the quantity as well as the quality of government spending in education, we find a similar pattern. The alteration in government efficiency is the main mechanism through which oil incomes lead to poor economic performances. Indeed, the direct contribution of oil incomes to total output is rather positive, even if the magnitude of this effect is likely to decrease with the relative level of oil dependence. The estimates indicate that the non-linear model is the better for explaining economic growth divergences across oil exporting countries as well as for reconciling the conflicting results from the empirical literature of the oil curse.

Human Capital and the Level of Economic Development

This study aims at testing the causal relationship between human capital via the government spending share on education and economic growth using cross-country evidence and investigating the relationship pattern between such human capital – growth and the level of economic development based on 30 country data. The study employs a standard approach through uniting root test and Granger causality test. The data is annually collected during the periods 1983 – 2012, totaling to 30 observations. The finding indicates that for both developing and developed countries, education human capital cannot explain much the economic growth and vice versa. In addition, from the relationship pattern between human capital – growth and the economic development level neutrality is the most commonly found pattern for both developing and developed countries. However, we see somewhat difference between them in terms of causation running from growth to human capital. That is, the number of developed countries is almost double as compared to the developing ones. This gives rise to a policy implication for developed countries in that it should put more emphasis on the government education spending share to GDP since it can help boost human capital in the long run.

Dampak Pengeluaran Pemerintah Terhadap Pertumbuhan Ekonomi dan Indeks Pembangunan Manusia di Perbatasan Indonesia

The purpose of this study is to analyze the effect of government spending - for building infrastructures, education and health - on economic growth and Indonesian community welfare that reside along the borderline during the period of 2007 to 2014. The data used in this research is panel data. Applying estimation model of Ordinary Least Square (OLS), this research indicates that government expenditures for infrastructures and education created significant effect oneconomic growth while the expenditure for healthcare did not significantly affect the economic growth. However, in the case of people welfare, government spending on infrastructure and economic growth showed a significant effect on it, butthe government spending for education and healthcare had insignificant impact on human development index.

Analysis of the Determinants of Education Expenditures in Malaysia

Expenditure on education helps in improving the skill formation and raises the ability of individuals to produce and work. It is said to be an investment in human capital which is closely connected with the economic development. Government education spending is of great importance to national development and plays a prime role in assisting growth and knowledge deepening. The aim of this study is to build on the established theories of public policy analysis on education and to empirically investigate and analyze the determinants of public expenditure on education in Malaysia. For the occasion of this study, it is posited that education expenditure is determined by multidimensional determinants. A number of theories are therefore incorporated regarding economic-demographics and political concept which have been used in the study. The results reveal that the education policy in Malaysia is mainly determined by budget deficit and the revenue collected by the government with a significant coefficient variables of -0.22and 0.15 percent respectively. Besides, unemployment has an inverse but insignificant impact on total educational expenditures. These results imply that the Malaysian government mainly takes into account only certain factors and neglect to incorporate the importance of other factors, such as demographic and educational indicators, when allocating education expenditures. Whereas Malaysian government education expenditure doesn’t focus on the political factor which is well described by the insignificant level of 0.80 percent of the dummy election cycle variable.

DOES GOVERNMENT HUMAN CAPITAL SPENDING CONTRIBUTE TO HUMAN CAPITAL DEVELOPMENT?-EVIDENCE FROM NIGERIA

Ponte Academic JournalAug 2017, Volume 73, Issue 8 DOES GOVERNMENT HUMAN CAPITAL SPENDING CONTRIBUTE TO HUMAN CAPITAL DEVELOPMENT?-EVIDENCE FROM NIGERIAAuthor(s): Ogbonnaya Orji ,Ebele S. Nwokoye, Ama Aka UduJ. Ponte - Aug 2017 - Volume 73 - Issue 8 doi: 10.21506/j.ponte.2017.8.10 Abstract:This study empirically estimated the long-run and short-run impact of federal government human capital spending on human capital development in Nigeria. The study was motivated by the fact that despite growth in public spending in the past decade Nigeria still ranks low in human capital development. Time series data from 1990-2015 was collected and autoregressive distributed lag (ARDL) and Bounds test were used to estimate the short-run and long-run relationships respectively. The Bounds test was used to determine that a long-run relationship exists between Human Development Index (HDI) and government human capital spending while controlling for macroeconomic state of the economy using economic growth and inflation rate. The study finds that 1-year and 2-year lags of government recurrent education expenditure has weak significant negative impact on HDI rather than the expected positive impact. Only government recurrent health spending has positive impact on human capital development up to the 2-year lag. The speed of adjustment of the short-run relations is 41% significant at 5% level. The results demonstrated that both in the long and short run, government health spending has remained positive but to a very large extent insignificant to human capital development in Nigeria; whereas government education spending has not produced the desired positive impact on human capital development in Nigeria. This accounts for the low HDI of Nigeria over the years. The study therefore concludes that human capital development could be achieved through more efficient health spending in Nigeria. This study therefore strongly recommends that federal government should raise substantially the level of capital spending on education and health in order to achieve meaningful human capital development in Nigeria. Download full text:Check if you have access through your login credentials or your institution Username Password

Government Education Spending and Education Outcome in Nigeria

Expenditure on education is regarded as investment in human capital because it helps in skill formation and thus raises the ability to work and produce more. Government education spending is of great importance to national development and plays a critical role in promoting growth and knowledge deepening. This paper examines government education spending and education outcome in Nigeria from 1970 – 2013. Employing Augmented Dickey Fuller (ADF) unit root test and Ordinary Least Square (OLS) technique, the study revealed that public education spending has a positive and significant effect on education outcome in Nigeria. Public health expenditure and urban population growth were also found to have positive effects on education outcome but are non significant in determining education outcome. The study recommends among other things, that government should spend more on education which needs to be targeted for the desired effects to be realized. Again government should monitor spending given the history of corruption and embezzlement of public funds in Nigeria.