Knowledge and Economic Growth: Evidence from Some Developing Countries

Abstract

The purpose of this paper is to estimate the impact of Knowledge Index consist of R&D, human resources and diffusion of ICT on economic growth in developing countries. To do so we have used a sample of 16 developing countries for which the necessary data were available for the period 2000- 2008. In this paper knowledge economy index (R&D, human resources and diffusion of ICT), Investment (Gross fixed capital formation), general government consumption and labor force considered as explanatory variables and GDP as a dependent variable. Our findings based on panel data econometrics method indicate that the impact of knowledge index on economic growth in the countries under consideration is positive and significance. Therefore, the expansion of knowledge in these countries is suggested.