Demographic Transition and Economic Growth: Evidence from Asia
Author: Muhammad Asim Fareed

The present study has investigated the impact of Demographic Transition and Human capital on economic growth in selected South Asian (Pakistan, India, Bangladesh, Sri Lanka) and East Asian (China, Japan, Malaysia, Korea) countries for the period of 1980-2015. The research has applied the panel co-integration techniques for analyzing the long run relationship. Using Im, Pesaran and Shin (IPS) (2003), and The Levin and Lin (LL) (1992) are used for Panel unit root. The results indicate that all the variables are non-stationary at level and became integrated of order one. After this, Pedroni co-integration (1999) test detected among all the variables of the study has long run relationship. The study has estimated the long run relationship through Dynamic Ordinary Least Square (DOLS) test. Finding shows labor force participation, demographic dividend and Gross secondary enrollment plays major role, while financial development and gross fixed capital formation play minor role in growth. Finally, Error correction mechanism for panel study is applied on the models. Short run results suggest that the relationship between demographic transition and economic growth holds in South Asia and East Asia in the short run. Supervisor:- Dr. Shujaat Farooq

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Supervisor: Shujaat Farooq

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