A Micro-Decomposition Analysis of the Macroeconomic Determinants of Human Development

This paper shows how differences in aggregate human development outcomes over time and space can be additively decomposed into a pure economic-growth component, a component attributed to differences in the distribution of income, and components att...

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Bibliographic Details
Main Authors:	Lambert, Sylvie, Ravallion, Martin, van de Walle, Dominique
Format:	Policy Research Working Paper
Language:	English
Published:	World Bank, Washington, DC 2012
Subjects:	ACCESS TO SCHOOLING AGE GROUPS AGE RANGES AVERAGE INCOME AVERAGE INCOMES AVERAGE SCHOOLING BIRTH ORDER BULLETIN CONSUMPTION EXPENDITURES COUNTRY CHARACTERISTICS COUNTRY PERFORMANCE COUNTRY REGRESSIONS CROSS-COUNTRY COMPARISONS CROSS-COUNTRY RELATIONSHIP CULTURAL CHANGE CURRICULUM DATA SETS DECOMPOSITION ANALYSIS DEMAND FOR EDUCATION DEPENDENT VARIABLE DESCRIPTIVE STATISTICS DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DEVELOPMENT EFFORTS DEVELOPMENT OUTCOMES DEVELOPMENT POLICY DISCRIMINATION DISTRIBUTION FUNCTION DISTRIBUTIONAL CHANGE DISTRIBUTIONAL CHANGES DISTRIBUTIONAL DATA DISTRIBUTIONAL EFFECT DRINKING WATER ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC INEQUALITY ECONOMIC REVIEW EDUCATION OUTCOMES EDUCATION SECTOR EDUCATION SYSTEM EDUCATIONAL ATTAINMENT EDUCATIONAL FACILITIES EMPIRICAL MODEL EMPIRICAL RELATIONSHIP ENROLLMENT ENROLLMENT RATE ENROLMENT RATE ENROLMENT RATES ENROLMENTS ETHNIC GROUP ETHNIC GROUPS ETHNIC MINORITIES ETHNIC MINORITY ETHNIC MINORITY CHILDREN EXPLANATORY VARIABLES FERTILITY FERTILITY RATE FUNCTIONAL FORM FUTURE GROWTH GENDER GAP GENDER OF TEACHERS GIRLS GROSS ENROLLMENT GROSS ENROLLMENT RATE GROWTH COMPONENT GROWTH PROCESS HEALTH CARE HOUSEHOLD CONSUMPTION HOUSEHOLD INCOME HOUSEHOLD INCOMES HOUSEHOLD LEVEL HOUSEHOLD SIZE HOUSEHOLD WELFARE HUMAN DEVELOPMENT INCOME DIFFERENCES INCOME EFFECT INCOME GROWTH INCOME INEQUALITY INCOME POVERTY INEQUALITY TRENDS INFANT INFANT MORTALITY LABOR FORCE LABOR MARKET LABOR MARKETS LIFE EXPECTANCY LINEAR MODEL LINEAR REGRESSION LITERACY LITERATE PARENTS LIVING STANDARDS MACROECONOMICS MEAN CONSUMPTION MEAN ERROR TERM MEAN INCOME MEAN INCOMES MEAN LOG DEVIATION MIGRANTS MIGRATION MILLENNIUM DEVELOPMENT GOALS MOTHER NATIONAL HEALTH SYSTEMS NEGATIVE EFFECT NUTRITION OFFICIAL PRIMARY SCHOOL PARENTAL EDUCATION PER CAPITA INCOME PER CAPITA INCOME LEVELS POLICY CHANGES POLICY RESEARCH POLICY RESEARCH WORKING PAPER POOR POOR COUNTRIES POPULATION AND DEVELOPMENT POPULATION GROUPS POPULATION GROWTH RATE POSITIVE IMPACT POVERTY MEASURES POVERTY UPDATE PRIMARY ENROLLMENT PRIMARY ENROLLMENT RATE PRIMARY ENROLLMENT RATES PRIMARY LEVEL PRIMARY SCHOOL PRIMARY SCHOOL ENROLLMENT PRIMARY SCHOOL ENROLLMENTS PRIMARY SCHOOL ENROLMENT PRIMARY SCHOOL FACILITIES PRIMARY SCHOOL LEVEL PRIMARY SCHOOLING PRIMARY-SCHOOL PRIVATE SCHOOLING PROGRESS PUBLIC EDUCATION PUBLIC EDUCATION SPENDING PUBLIC EXPENDITURE PUBLIC POLICY PUBLIC SERVICES PUBLIC SPENDING QUALITY OF LIFE REGRESSION RESULTS REGRESSION TECHNIQUES RELATIVE IMPORTANCE RICHER COUNTRIES RUNNING WATER RURAL RURAL AREAS RURAL DIFFERENCES RURAL DISPARITIES RURAL GIRLS RURAL MIGRATION RURAL POVERTY RURAL SCHOOL RURAL WOMEN SAFETY NET SCHOOL AGE SCHOOL AGE CHILDREN SCHOOL AGED CHILDREN SCHOOL ATTENDANCE SCHOOL CHILDREN SCHOOL CONSTRUCTION SCHOOL INFRASTRUCTURE SCHOOL YEAR SCHOOLING SCHOOLS SECONDARY ENROLLMENT SECONDARY ENROLLMENT RATES SECONDARY ENROLMENT SECONDARY SCHOOL SECONDARY SCHOOL ENROLMENT SECONDARY SCHOOL LEVEL SECONDARY SCHOOLING SOCIAL OUTCOMES SOCIAL SPENDING SOCIOECONOMIC FACTORS URBAN AREAS URBAN POPULATION URBAN POPULATION GROWTH URBANIZATION VOCATIONAL TRAINING WORLD HEALTH ORGANIZATION
Online Access:	http://documents.worldbank.org/curated/en/2007/09/8331633/micro-decomposition-analysis-macroeconomic-determinants-human-development http://hdl.handle.net/10986/7343

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Summary:	This paper shows how differences in aggregate human development outcomes over time and space can be additively decomposed into a pure economic-growth component, a component attributed to differences in the distribution of income, and components attributed to "non-income" factors and differences in the model linking outcomes to income or non-income characteristics. The income effect at the micro level is modeled non-parametrically, so as to flexibly reflect distributional changes. The paper illustrates the decomposition using data for Morocco and Vietnam, and the results offer some surprising insights into the observed aggregate gains in schooling attainments. A user friendly STATA program is available to implement the method in other settings.

A Micro-Decomposition Analysis of the Macroeconomic Determinants of Human Development

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