ERIC Number: ED034895
Record Type: RIE
Publication Date: 1969-Aug
Reference Count: 0
Education and Economic Growth in Iowa; Final Report.
Glendening, Richard N.
To study the relationship of education to economic growth for the state of Iowa, the hypothesis that increasing the level of education for the labor force would lead to higher levels of income or economic growth was tested for the period from 1950-1967. The Cobb-Douglas production was used to evaluate the relationship. The function used labor nonfarm capital, agricultural capital, and the average level of education for the independent variables, and a linear equation was developed using logarithms. The results of the survey were not conclusive. The labor and agriculture variables were significant at the 95 percent level but the latter had a negative regression coefficient. The negative sign showed that agriculture was not in equilibrium, which in turn caused overinvestment in agriculture. The signs were positive for the nonfarm and education variables, but they were significant only at the 90 percent level. One explanation was that the education variable did not account for the variations in contribution to economic growth of the different educational expenditures. Another reason was that the nonfarm capital estimate was not a good approximation of the true capital value. (BC)
Publication Type: N/A
Education Level: N/A
Sponsor: Office of Education (DHEW), Washington, DC. Bureau of Research.
Authoring Institution: Central Coll., Pella, IA.
Identifiers: Agricultural Capital; Cobb Douglas Function; Iowa