Open AccessInvestigation of Causal Correlations Between Higher Education Development and Economic Growth in Vietnam
Author(s) -
Nguyen Duc Hanh,
Bui Manh Dung
Publication year - 2021
Publication title -
review of european studies
Language(s) - English
Resource type - Journals
eISSN - 1918-7181
pISSN - 1918-7173
DOI - 10.5539/res.v13n2p83
Subject(s) - granger causality , distributive property , causality (physics) , economics , lag , gross domestic product , error correction model , econometrics , test (biology) , macroeconomics , demographic economics , mathematics , cointegration , computer science , computer network , paleontology , physics , quantum mechanics , biology , pure mathematics
This work investigated the dynamic relationship between higher education and economic growth in Vietnam using annual data collected ten years from 2010 to 2019. The auto-regressive distributive lag framework was used along with the error correction term to investigate the long-run relationship between real gross domestic product, enrollment in higher education, gross capital formation, and labor. The study used the Granger causality test to assess the relationship between higher education and economic expansion. Follow as the test results, a unidirectional causality running from higher education to economic growth have observed. The necessary diagnostic tests have applied to check the reliability and acceptability of model outputs, and they have been found suitable.