“`html
Abstract
This study examines the impact of health and education expenditures, social protection, population growth, and foreign direct investment (FDI) on human capital formation in Pakistan. Using data from 1990 to 2020, the study employs the auto-regressive distributed lag (ARDL) bound test to analyze long-run co-integration among variables. The results indicate that health and education expenditures, as well as social protection programs, are positively associated with human capital in terms of education attainment and life expectancy. Conversely, population growth negatively affects primary education attainment. The study suggests that the Pakistani government should allocate more budget to health, education, and social protection programs to enhance human capital.
Introduction
Investment in human capital, including education and health, is crucial for economic growth. This study aims to determine the significance of government spending on human capital development in Pakistan.
Background of the Study
Pakistan faces challenges in utilizing its human resources efficiently due to inadequate educational policies and low concerns for implementing proper educational reforms.
Literature Review
Previous studies have shown mixed results regarding the impact of government spending on education and human capital formation. This study aims to fill the gap by investigating the role of government spending on education, health, and social protection in human capital development.
Theoretical Background
The Human Capital Theory and Musgrave’s theory of public finance support the idea that government spending on education and health can enhance a country’s human capital.
Data and Results
Variables and Sources of Data
Data was collected from World Development Indicators (WDI) for the period of 1990-2020.
Unit Root Test
The Augmented Dickey–Fuller Test (ADF) confirmed the stationarity of the time series data.
Model Specification
The ARDL bound test procedure was used to identify long-run co-integration among variables.
Discussion
The findings suggest that sustainable public finances for education and health activities help promote human capital. Social protection programs also alleviate financial barriers and can promote human capital development.
Conclusion
The study concludes that government spending in health and education sectors is necessary for human capital development in Pakistan. It also highlights the importance of controlling population growth and enhancing FDI to improve human capital.
Data Availability
Data can be provided upon reasonable request to the corresponding author.
Author Information
Authors: Shazia Kousar, Farhan Ahmed, Muhammad Afzal, Juan E. Trinidad Segovia
Ethics Declarations
The authors declare no competing interests and confirm that no studies with human participants were performed.
Additional Information
Publisher’s note: Springer Nature remains neutral regarding jurisdictional claims in published maps and institutional affiliations.
Rights and Permissions
This article is licensed under a Creative Commons Attribution 4.0 International License.
About this Article
Cite this article as: Kousar, S., Ahmed, F., Afzal, M. et al. Is government spending in the education and health sector necessary for human capital development?. Humanit Soc Sci Commun 10, 62 (2023).
“`
Which SDGs are addressed or connected to the issues highlighted in the article?
The Sustainable Development Goals (SDGs) addressed or connected to the issues highlighted in the article include:
- SDG 3: Good Health and Well-being
- SDG 4: Quality Education
- SDG 8: Decent Work and Economic Growth
- SDG 10: Reduced Inequalities
- SDG 17: Partnerships for the Goals
What specific targets under those SDGs can be identified based on the article’s content?
The specific targets under the SDGs that can be identified based on the article’s content include:
- Target 3.2: End preventable deaths of newborns and children under 5 years of age
- Target 4.1: Ensure that all girls and boys complete free, equitable, and quality primary and secondary education
- Target 4.2: Ensure that all girls and boys have access to quality early childhood development, care, and pre-primary education
- Target 4.3: Ensure equal access for all women and men to affordable and quality technical, vocational, and tertiary education, including university
- Target 8.5: Achieve full and productive employment and decent work for all women and men
- Target 10.3: Ensure equal opportunity and reduce inequalities of outcome
Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?
The indicators mentioned or implied in the article that can be used to measure progress towards the identified targets include:
- Indicator for Target 3.2: Child mortality rate
- Indicator for Target 4.1: Education attainment at least primary completed, secondary completed, and tertiary completed
- Indicator for Target 4.2: Not explicitly mentioned, but could be inferred from early education programs funded by government expenditure
- Indicator for Target 4.3: Tertiary education attainment and skilled labor force
- Indicator for Target 8.5: Economic growth rate, employment opportunities created through education and health investments
- Indicator for Target 10.3: Reduction in child mortality and increase in life expectancy as measures of reduced inequalities in health outcomes
Create a table with three columns titled ‘SDGs, Targets and Indicators” to present the findings from analyzing the article.
| SDGs | Targets | Indicators |
|---|---|---|
| SDG 3: Good Health and Well-being | Target 3.2: End preventable deaths of newborns and children under 5 years of age | Child mortality rate |
| SDG 4: Quality Education | Target 4.1: Ensure that all girls and boys complete free, equitable, and quality primary and secondary education | Education attainment at least primary completed, secondary completed |
| Target 4.2: Ensure that all girls and boys have access to quality early childhood development, care, and pre-primary education | (Implied) Early education programs funded by government expenditure | |
| Target 4.3: Ensure equal access for all women and men to affordable and quality technical, vocational, and tertiary education, including university | Tertiary education attainment, skilled labor force | |
| SDG 8: Decent Work and Economic Growth | Target 8.5: Achieve full and productive employment and decent work for all women and men | Economic growth rate, employment opportunities created through education and health investments |
| SDG 10: Reduced Inequalities | Target 10.3: Ensure equal opportunity and reduce inequalities of outcome | Reduction in child mortality, increase in life expectancy as measures of reduced inequalities in health outcomes |
Copyright: Dive into this article, curated with care by SDG Investors Inc. Our advanced AI technology searches through vast amounts of data to spotlight how we are all moving forward with the Sustainable Development Goals. While we own the rights to this content, we invite you to share it to help spread knowledge and spark action on the SDGs.
Fuente: nature.com
Join us, as fellow seekers of change, on a transformative journey at https://sdgtalks.ai/welcome, where you can become a member and actively contribute to shaping a brighter future.
