Economic Growth and Cycles : Cross-Country Models of Education, Industry and Fertility and International Comparisons

The aim of this article is to point out the importance of education on a sustained economic development strategy, having into account inter-sector relations and the influence of education in the growth of production per head. Three cross-country models are presented to analyze the evolution of the period 1995-2000. The first model relates the diminution of excessively high fertility rates with increases in the educative level of population. The second model relates value-added in the services sector with the internal production of industry and agriculture, as well as with foreign trade and changes in population. The third model relates the industrial development with the educative level of population and foreign trade. We analyze, from a worldwide view, the evolution of real Gross Domestic Product (GDP), Population and GDP per inhabitant (GDPH). USA, Japan, the European Union, Latin America, Africa, China, India, and other areas of Europe and Asia-Pacific are considered, and the main differences in the levels of GDPH are explained, having into account the results of the cross-country models. The main conclusions highlight the necessity of new international policies for improving the educative level of population in less developed countries