Measuring and Analyzing the Impact of Human Capital Indicators on Sustainable Growth in Iraq for the Period 2004–2023

Abstract

Sustainable human development is considered a fundamental component in achieving long-term economic and social transformation. This research is based on the core hypothesis that sustainable investment in human capital—including the sectors of education and healthcare—directly contributes to enhancing GDP and achieving sustainable growth. The study adopts an econometric analytical approach using the Vector Error Correction Model (VECM), covering the relevant indicators and focusing on the dynamic relationship between human capital and the dimensions of sustainable growth. The results reveal that government spending on education and healthcare has a statistically significant positive effect in supporting sustainable growth. The study emphasizes the importance of formulating economic policies that enhance the quality of human capital, not only in terms of quantity, but also by focusing on developmental outcomes aligned with the requirements of social justice and environmental sustainability.