This series addresses the relation of education to knowledge-based growth and broader measures of development beyond growth, central features of the modern world in which education has a central role. This role includes the effects of education on pure economic growth including it’s effects on the creation, adaptation, and dissemination of new ideas. Beyond this, the series presents pivotal research on the contribution of education to the many non-market private and social benefits beyond earnings. These non-market benefits largely define individuals’ life chances and are, for a society, standard indicators of development.
Education readers will be able to easily access the most recent and key research defining education’s role in earnings, in growth, and in the flow of new ideas, all in volume one. The contributions of education to development outcomes beyond earnings, both private and social, are addressed in volume two. The introductions to the series and to each volume place this in a coherent framework. Education dynamics and short and long term ‘endogenous development’ are defined and explored in volume three, and finance and policy in volume four. The views of skeptics about education’s effects are considered. It is also explained how the controls they use can eliminate education’s effects through technical change, on broader development beyond GDP, and can focus only on smaller short term education outcomes.
Economists in development, growth, and in the economics of education should be especially interested in this series, which is cross listed in economics, because of the new insights into ‘education dynamics’ in volume three. This includes the short term dynamics of endogenous development involving estimates of difference equations and of five to thrirty-five year education outcomes that build up with time. Volume three also addresses the long run dynamics of optimal growth and optimal development. Other new aspects include the contributions of education to new ideas improving non-market development outcomes and through indirect effects that feed back and enhance growth. This chips away at the mystery of unexplained ‘technical change’ and also helps explain why static models do not always find education significant to growth, external benefits, or development.
For policy, financing criteria need to consider education’s effects on earnings but also on non-market development outcomes beyond earnings, or overall efficiency and equity. The pivotal articles addressing these important issues are presented in this series together with explanatory transition articles and introductions that put them in a readable and coherent context.
Table of Contents
Volume I: Education and Growth
Introduction, Walter W. McMahon, ‘Education and Development’
Introduction to volume I.
Investment in Human Capital and Development
1. T. W. Schultz, ‘Investment in Human Capital’, American Economic Review, 1961, LI, 1, 1–17.
2. Richard A. Easterlin, ‘Why isn’t the Whole World Developed’, Journal of Economic History, 1981, 41, 1, 1–19.
Education, Endogenous Growth, and Neo-Classical Growth with Human Capital
3. Paul M. Romer, ‘The Origins of Endogenous Growth’, Journal of Economic Perspectives, 1994, 8, 1, 3–22.
4. Robert E. Lucas, ‘On the Mechanics of Economic Development’, Journal of Monetary Economics, 1988, 22, 3–42.
5. Paul M. Romer, ‘Endogenous Technical Change’, Journal of Political Economy, 1990, 98, S71–S102.
6. Gregory Mankiw, David Romer, and David Weil, ‘A Contribution to the Empirics of Economic Growth’, Quarterly Journal of Economics, 1992, 107, 2, 407–37.
7. Robert J. Barro, ‘Human Capital and Growth’, American Economic Review, 2001, 91, 2, 12–17.
New Ideas Embodied in Human Capital Leading to Growth
8. Robert E. Lucas, Jr., ‘Ideas and Growth’, Economica, 2009, 76, 301, 1–19.
9. Walter W. McMahon, review of Zvi Griliches, R&D, Education, and Productivity: A Retrospective (2000), Economics of Education Review, 2002, 21, 397–8.
Education and Growth: Empirical Evidence from Dynamic Growth Equations
10. Robert Barro, ‘Economic Growth in a Cross Section of Countries’, Quarterly Journal of Economics, 1991, 106, 2, 407–43.
11. Katarina R. I. Keller, ‘Investment in Primary, Secondary, and Higher Education and the Effects on Economic Growth’, Contemporary Economic Policy, 2006, 24, 1, 18–34.
12. Walter W. McMahon, ‘Education and Growth in East Asia’, Economics of Education Review, 1998, 17, 2, 159–72.
13. Katarina R. I. Keller, ‘Education Expansion, Expenditures Per Student and the Effects on Growth in Asia’, Global Economic Review, 2006, 35, 1, 21–42.
14. Walter W. McMahon, ‘Education and Growth in Latin America’, Education and Development: Measuring the Social Benefits (Oxford University Press, 2002), pp. 52–67.
Education and Earnings: Empirical Evidence from Micro Data
15 George Psacharopoulos and Harry A. Patrinos, ‘Human Capital and Rates of Return’, in Geraint Johnes and Jill Johnes (eds.), International Handbook of the Economics of Education (Edward Elgar, 2004), pp. 1–32.
16. Esther Duflo, ‘Schooling and Labor Market Consequences of School Construction in Indonesia: Evidence from an Unusual Policy Experiment’, American Economic Review, 2001, 91, 4, 795–813.
17. Omer Arias and Walter McMahon, ‘Dynamic Rates of Return to Education in the U. S.’, Economics of Education Review, 20, 2001, 121-138.
18. James J. Heckman, Lance Lochner, and Petra Todd, ‘Earnings Functions, Rates of Return, and Treatment Effects: The Mincer Equation and Beyond’, (excerpt) in Eric Hanushek and Finis Welch (eds), Handbook of the Economics of Education, Volume 1, (Elsevier, 2006), pp. 307-42, 445-458.
19. Walter W. McMahon, ‘Higher Education and Economic Growth: Jobs, Earnings, and the Skill Deficit’, Higher Learning, Greater Good: The Private and Social Benefits of Higher Education (Johns Hopkins University Press, 2009), pp. 69–117.
Quality versus Quantity of Schooling for Development
20. Jere R. Behrman, David R. Ross, and Richard Sabot, ‘Improving Quality versus Increasing the Quantity of Schooling: Estimates of the Rates of Return from Rural Pakistan’, Journal of Development Economics, 2008, 85, 1–2, 94–104.
‘Ability Bias’ in Returns to Education
21. Cecilia E. Rouse, ‘Further Estimates of the Economic Return to Schooling from a New Sample of Identical Twins’, Economics of Education Review, 1999, 18, 2, 149–57.
22. Jere R. Behrman and M. R. Rosenzweig, ‘Ability Bias in Schooling Returns and Twins: A Test and New Estimates’, Economics of Education Review, 1999, 18, 2, 159–67.
Other Sources of Development
23. Adrian Wood, ‘Making Globalization Work for the Poor’, Journal of International Development, 2004, 16, 933–7.
24. Torsten Persson and G. Tabellini, ‘Democracy and Development: The Devil in the Details’, American Economic Review, 2006, 96, 319–24.
Volume II: Education and Development Outcomes Beyond Growth
Introduction to volume II
Theory, Measurement, and Valuation of Development Outcomes
25. Gary Becker, ‘A Theory of the Allocation of Time’, Economic Journal, 1965, LXXV, 299, 493–517.
26. Robert Haveman and Barbara Wolfe, ‘Schooling and Economic Well-Being: The Role of Non-Market Effects’, Journal of Human Resources, 1984, XIX, 3, 377–407.
The Private Non-Market Benefits of Education
Education, Own Health, Spousal Health, Child Health and Longevity
27. P. Muennig, ‘Education and Health’, in Dominic J. Brewer and Patrick J. McEwan (eds.), Economics of Education (Academic Press, 2010), pp. 80–8.
28. Michael Grossman, ‘Education and Non-Market Outcomes’, in Eric Hanushek and Finis Welch (eds.), Handbook of the Economics of Education, Vol. 1 (Elsevier-North Holland, 2006), pp. 578–633.
Child Cognitive Development
29. Richard Murnane, ‘New Evidence on the Relationship Between Mother’s Education and Children’s Cognitive Skills’, Economics of Education Review, 1981, 1, 2, 245–52.
30. Richard Layard, ‘So What Does Make Us Happy?’, Happiness: Lessons From a New Science (Penguin Press, 2005), pp. 55–75.
The Social Benefits of Education
What Are Education Externalities? An Overview
31. Walter W. McMahon, ‘The External Benefits of Education’, in D. J. Brewer and Patrick J. McEwan (eds.), The Economics of Education (Elsevier, 2010).
Democracy, Human Rights, and Political Stability
32. Robert J. Barro, ‘Determinants of Democracy’, Journal of Political Economy, 1999, 107, 6, S158–S183.
33. Edward L. Glaeser et al., ‘Do Institutions Cause Growth?’, Journal of Economic Growth, 2004, 9, 3, 271–303.
34. Thomas S. Dee, ‘Education and Civic Engagement’, in Dominic J. Brewer and Patrick J. McEwan (eds.), Economics of Education (Academic Press, 2010), pp. 89–92.
Investment in Physical Capital
35. Moses O. Oketch, ‘Determinants of Human Capital Formation and Economic Growth of African Countries’, Economics of Education Review, 2006, 25, 554–64.
Fertility and Net Population Growth, Life Expectancy
36. Walter W. McMahon, ‘ Health and Net Population Growth’, Education and Development: Measuring the Social Benefits (Oxford University Press, 2002), pp. 81–91.
Inequality and Literacy
37. J. Blanden and S. Machin, ‘Education and Inequality’, in Dominic J. Brewer and Patrick J. McEwan (eds.), Economics of Education (Academic Press, 2010), pp. 89–92.
38. Lance Lochner, ‘Education and Crime’, in Dominic J. Brewer and Patrick J. McEwan (eds.), Economics of Education (Academic Press, 2010), pp. 93–8.
Lower State Public Health, Welfare, and Prison Costs, and Additional Tax Revenue
39. Hank Levin, ‘The Social Costs of Inadequate Education’ (a summary by the symposium chair) (Teachers College, Columbia University, 2005), pp. 1–22.
40. John F. Helliwell and Robert D. Putnam, ‘Education and Social Capital’, Eastern Economic Journal, 2007, 33, 1, 1–19.
The Complete Model: Measuring Total Social Benefits of Education
41. Walter W. McMahon, ‘Measuring the Total Social Benefits of Education: The Complete Model’, Education and Development: Measuring the Social Benefits (Oxford University Press, 2002), pp. 179–226.
42. Daron Acemoglu et al., ‘From Education to Democracy?’, American Economic Review, 2005, 95, 2, 44–9.
Volume III: The Dynamics of Education and Development
Introduction to Volume III
Explaining the Residual: Human Capital and the Diffusion of Technology
43. R. R. Nelson and E.S. Phelps, ‘Investment in Humans, Technological Diffusion, and Economic Growth’, American Economic Review, 1966, 56, 1, 2, 69–75.
44. Hans-Jurgen Engelbrecht, ‘Human Capital and Economic Growth: Cross Section Evidence for OECD Countries’, Economic Record, 2003, 79, S40–S51.
45. Jess Benhabib and Mark M. Spiegel, ‘Human Capital and Technology Diffusion’, in Philippe Aghion and Steven Durlauf (eds.), Handbook of Economic Growth, Vol. 1A (Elsevier, 2005), pp. 935–66.
46. Ann P. Bartel and Frank R. Lichtenberg, ‘The Comparative Advantage of Educated Workers in Implementing New Technology’, Review of Economics and Statistics, 1987, LXIX, 1, 1–11.
47. Jin Hwa Jung, ‘Farmers’ Education, Technology Adoption and Income: A Case of Eco-Friendly Farming in Korean Farm Households’, Korean Journal of Agricultural Economics, 2008, 49, 3, 71–94.
48. Walter W. McMahon, ‘Embodiment, Vintage Human Capital, Obsolescence, Indirect Benefits, and Externalities’, Higher Learning, Greater Good (Johns Hopkins University Press, 2009), pp. 47–54.
49. Katrina R. I. Keller and Panu Poutvaara, ‘Growth in OECD Countries and Elsewhere: How Much do Education and R & D Explain?’, Economics Bulletin, 2005, 15, 16, 1–11.
Short- and Medium-Term Education Dynamics
Lags Over the Life Cycle in Education Outcomes
50. William J. Baumol, 'First Order Difference Equations', in Economic Dynamics, 3rd edn. (Collier-Macmillan, 1970), pp. 109–23.
Medium-Term Effects: Three Equation Solution and Complete Model Simulations
51. Walter W. McMahon , ‘An Analysis of Education Externalities with Applications to Development in the Deep South’, Contemporary Economic Policy, 2007, 25, 3, 459–82.
52. John Knight, Li Shi, and Deng Quheng, ‘Education and the Poverty Trap in China: Closing the Trap’, Oxford Development Studies, 2010, 38, 1, 1–24.
53. Elizabeth Appiah and Walter W. McMahon, ‘The Social Outcomes of Education and Feedbacks on Growth in Africa’, Journal of Development Studies, 2002, 38, 4, 27–67.
Education Externalities and their Value as a Rationale for Public Support
54. Walter W. McMahon, ‘Separating and Valuing the Direct and Indirect Effects of Education’, Education and Development: Measuring the Social Benefits (Oxford University Press, 2002), pp. 227–60.
55. Theodore W. Breton, ‘Schooling and National Income: How Large Are the Externalities? Revised Estimates’ (a version updated for this collection of an article that first appeared in Education Economics, 2010, 18, 1, 67–92).
Long-Term Education Dynamics
56. Yunfang Hu, ‘Human Capital Accumulation, Home Production, and Equilibrium Dynamics’, Japanese Economic Review, 2008, 59, 3, 292–311.
The Endogeneity of New Ideas
57. Charles I. Jones and Paul M. Romer, ‘The New Kaldor Facts: Ideas, Institutions, Population, and Human Capital’ (NBER Working Paper 15094, National Bureau of Economic Research, 2009.)
Volume IV: Education Policy and Finance
Introduction to Volume IV
Education Investment Strategy in Developing Countries
58. Jandhyala B. G. Tilak, ‘Introduction’, in Tilak (ed.), Education, Society, and Development: National and International Perspectives (APH Publishing, 2003), pp. xiii–xviii.
59. Paul Glewwe and Michael Kremer, ‘Schools, Teachers, and Education Outcomes in Developing Countries’, in Eric Hanushek and Finis Welch (eds.), Handbook of the Economics of Education, Vol. 2 (Elsevier, 2006), pp. 945–1017.
60. Christopher Colclough, ‘Towards Universal Primary Education’, in Richard Black and Howard White (eds.), Targeting Development (Routledge, 2004), pp. 166–83.
61. Gunnar Eliasson, ‘Advanced Purchasing as Public Policy: On the Advanced Firm as a Technical University’, Advanced Public Procurement as Industrial Policy (Springer, 2010), pp. 233–45.
Education and Inequality: Equity
62. Kern Alexander, ‘Concepts of Equity in School Finance’, Kern Alexander (ed.), Education and Economic Growth: Investment and Distribution of Financial Resources (Linton Atlantic Books Ltd., 2008), pp. 149-163.
Financing Educaiton in Developing and Developed Countries
63. Christopher Colclough and Samer Al-Samarrai, ‘Achieving Schooling for All: Budgetary Expenditures on Education in Sub-Saharan Africa and South Asia’, World Development, 2000, 28, 11, 1927–44.
64. Walter W. McMahon, ‘An Adequate Education for Each Child’, Improving Education Finance in Indonesia (UNICEF and Policy Research Center, Government of Indonesia, 2001), pp. 4–18.
65. Allan Odden, ‘The New School Finance: Providing Adequacy and Improving Equity’ in Kern Alexander (ed.), Education and Economic Growth: Investment and Distribution of Financial Resources (Linton Atlantic Books, 2008), pp. 201–13.
66. Deborah A. Verstegen, ‘Has Adequacy Been Achieved? A Study of Finances and Costs a Decade after Court Ordered Reform’, in Kern Alexander (ed.), Education and Economic Growth: Investment and Distribution of Financial Resources (Linton Atlantic Books, 2008), pp. 247–64.
67. Eric Fingerhut and Don Sevener, ‘What is Performance Funding and How is it Employed by Other States to Reach Their Higher Education Goals?’, Higher Education Finance Study Commission, Final Report to the Governor and Members of the Illinois General Assembly, December, 2010, pp. 17-21.
The Political Economy of Development
68. Christopher Adam and Stefan Dercon, ‘The Political Economy of Development: An Assessment’, Oxford Review of Economic Policy, 2009, 23, 2, 173–89.
Market Failure in Education Markets
69. Walter W. McMahon, ‘Market Failure’, Higher Learning Greater Good (Johns Hopkins University Press, 2009), pp. 44–7.
Education and Regional Development within Developed Countries
70. Walter W. McMahon and Moses Oketch, ‘Higher Education and Development in the UK and US’ (LLAKES Research Paper, Institute of Education, London, 2010).
71. Christopher Colclough, ‘Conclusions: What Have We Learned?’, in Colclough et al., Achieving Schooling for All in Africa (Ashgate, 2003).
72. Walter W. McMahon, ‘Why Policies Matter’ (policy brief for APHRC Research Institute, Narobi, Kenya, 2010), pp. 1–3.