Template-type: ReDif-Paper 1.0
Author-Name: Marconi, G.
Author-Name: de Grip, A.
Author-workplace-name: Research Centre for Educ and Labour Mark
Title: Education and growth with learning by doing
Abstract: In this paper, we develop a general equilibrium overlapping generations model which is based on the view that education makes workers more productive by increasing their ability to learn from work experience, rather than providing skills that directly increase productivity. This assumption is discussed and compared with the dominant "Mincerian" view on the education-productivity relationship. One important implication of the model is that the enrolment rate to education has a negative effect on the GDP in the medium term and a positive effect in the long term. This could be an explanation for the weak empirical relationship between education and economic growth that has been found in the empirical macroeconomic literature. Conversely, for a given enrolment rate, the quality of education, as measured by workers’ ability to learn, has a positive effect on the GDP both in the medium and in the long term.
Series: ROA Research Memoranda
Creation-Date: 20140101
Number: 010
File-URL: https://cris.maastrichtuniversity.nl/ws/files/1252460/guid-ab5a44f4-9ffb-4328-85c5-f671ec66daa2-ASSET1.0.pdf
File-Format: application/pdf
File-Size: 1347473
Handle: Repec:unm:umaror:2014010
DOI: 10.26481/umaror.2014010