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Human Capital Contribution to Economic Growth in Sub-Saharan Africa Revisited: A Cross-Country Analysis


Poverty and inequality features and determinants in Africa


  • Kolawole Ogundari
  • Titus Awokuse

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This paper revisits the link between human capital and economic growth in sub Saharan Africa (SSA). Consequently, the study employs dynamic system GMM model based on a balanced panel data covering 35 countries from 1980-2008 in the region, to deal with the problem of endogeneity and omitted variable bias. The empirical results from the study show that proxies of education and health human capital consider in the study have positive effect on economic growth. While effect of primary and secondary enrollments and average year of schooling were significant, the effects of both tertiary enrollment and government expenditure on education have no significance effect in the study. The results further show that health human capital contributes more to economic growth compared to education human capital. This result aligns with argument in the literature that neither education nor health human capital is a perfect substitute for other, and, justifies their joint inclusion in growth regression model so as to identify, which components of human capital contribute most to economic growth.

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African Union Building and Government Hotel, Kinshasa, Democratic Republic of the Congo

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