The Long Run Relationship between Youth Population and Economic Growth: Evidences from Time Series Data of Bangladesh

Abstract

With the help of forty three years time series data of Bangladesh, this paper attempts to understand the long term relationship between youth population and economic growth. Despite the significance of youth population to the economy, the long run relationship between the relative share of youth population to the economy and economic growth has not been analyzed in greater detail. In this context, this paper has applied Johansen cointegration analysis where the estimation result suggests that a consequential and proportional increase in youth population will lead to a rise in GDP growth in the long run. Given the significance of demographic composition on economic growth, the estimation results emphasized the importance of policies related to greater public investment in youth development programs including those of tertiary education and skill training initiatives.