Effects of Human Development Indexes (HDIs) on Economic Growth in MENA Countries: An Emphasis on Education and Literacy Indexes

Abstract

Necessity of paying attention to human capital and investment on it, it is clear in the economical analyzing and literature on it and because this they conducted several survey in the section of human capital in countries economy growth. Today education section is one of the key factors of human development indexes in the growth process and economic growth. In the past they recognize physical investment and work force as an only effective factor to development and growth, but today they recognize education and graduation to growth models since clearing human force quality effect in economic growth process. The result of this experiment survey is human development indexes special education and literacy indexed to economic growth for MENA’s group countries with regression based on date of Cobb-Douglas production function through 1980-2010. The results of this estimate show that literacy and education indexes have meaningful and positive effect on economic growth. The suggestion to economic agents based on present survey finding that pay more attention to human development indexes especially to education section.

Keywords: Education, Literacy, Economic Growth, Human Development Indexes, MENA

JEL Classification: O46, P36, O15, Q49