Open AccessCritical Analysis of Governance, Economic Freedom, and Human Capital Implications on Sustainable Economic Growth: Evidence from Sub-Saharan Africa
Author(s) -
Yusuf Ayodeji
Publication year - 2021
Publication title -
international journal of social science and economics invention
Language(s) - English
Resource type - Journals
ISSN - 2455-6289
DOI - 10.23958/ijssei/vol07-i08/312
Subject(s) - economic freedom , human capital , economics , corporate governance , context (archaeology) , development economics , economic system , economic growth , market economy , geography , finance , archaeology
In the recent time, the attention of scholars have shifted towards deeper understanding of factors that drives the achievement of sustainable economic growth, but yet factors such as governance, economic freedom, and human capital have not been exhaustively investigated, especially within the context of Sub-Saharan Africa (SSA). Thus, this study investigates the implications of governance, economic freedom, and human capital on the sustainability of economic growth in the SSA, usingpanel data that spanned between 1996 and 2018, and employed a Pooled Mean Group (PMG) estimator for the analysis. This study found governance, economic, and human capital to have a positive and significant causal relationship with economic growth in the long-run, while only economic freedom was found to have a negative and significant causal relationship with economic growth in the short-run. In addition, this study found that in case of disequilibrium, the model has a convergent speed of adjustment of about 10.8%. The study implications were discussed in the study.