摘要：Nations cannot be developed without investing in education. Education is a multidimensional process, on one side, it enhances the economic growth and on the other side, it reduces the poverty by increasing the productivity. Poverty has strong linkages with education and economic growth. This study utilizes time series data on education, poverty, physical capital and economic growth for the span of 1971-72 to 2009-10 in case of Pakistan. The results of ARDL model confirm that both the short-run and long-run affect of physical capital on economic growth have been found to be positive and significant. Education affects economic growth positively and significantly only in the long-run. In the long-run, poverty and economic growth are inversely and significantly related. The results of Toda-Yamamoto Augmented Granger Causality (TYAGC) Test confirm bi-directional causality between education and economic growth, between economic growth and poverty and between poverty and education. Poverty reduction and education enhancing strategies must be adopted to accelerate the process of economic growth of the country. The study also recommends pro- poor growth and education in Pakistan.
