Human Development, Political Stability and Economic Growth: The way forward

Authors

  • Areeba Khan Department of Management Sciences, The Islamia University of Bahawalpur, Pakistan
  • Sulaman Hafeez Siddiqui Department of Management Sciences, The Islamia University of Bahawalpur, Pakistan
  • Shahid Hussain Bukhari Department of International Relations, Bahauddin Zakariya University, Multan, Pakistan
  • Syed Muhammad Hashim Iqbal The Islamia University of Bahawalpur, Pakistan

DOI:

https://doi.org/10.47067/reads.v6i2.213

Keywords:

Economic Growth, Human Development, Happiness, Income Redistribution, Health

Abstract

Economic growth has been known to foster human development for long term economic stability. The evidence of bi-causality in the human development and economic growth nexus is however limited. This paper builds on the reverse causality between human development and economic growth in context of Pakistan, with the moderating impact of political stability. The study applies OLS and VECM on the data collected from World Bank Database from year 2006 to 2018. Our findings exhibit empirical evidence related to endogenous growth models and a significant causal relationship between human development and economic growth, moderated by political stability. The relationship is further explained by trajectories of happiness, health and income redistribution. Our findings suggest efficient reallocation of resources towards human development to address post pandemic growth concerns.

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Published

2020-09-30

How to Cite

Khan, A. ., Siddiqui, S. H. ., Bukhari, S. H. ., & Iqbal, S. M. H. . (2020). Human Development, Political Stability and Economic Growth: The way forward. Review of Economics and Development Studies, 6(2), 351-361. https://doi.org/10.47067/reads.v6i2.213