Electronic Theses and Dissertation

This study analyzes the effects of government public expenditure on education and health on economic growth in southeast asian countries. in particular, the study seeks to find out in expenditure would affect economic growth. extent to which public government the research uses the panel data among of five southeast asian countries which are indonesia, laos, malaysia, philippines, and thailand. the data re collected from 2000 until 2009, the method of analysis used in this research is descriptive analysis and quantitative analysis of panel data the method of estimating panel data used in this study is fixed effect model. the results of analyses have found that in general both variables which are public government expenditure on education and health affect significantly on growth of gdp percapita of southeast asian countries by level of trust 5% - 10% . government public expenditure on education positively significant but in the other hand government public expenditure on health significant in negative relationship. estimation result also shown that laos is indicated on the latest ten years as the country that have the highest level of effectiveness related to it's allocation of government public expenditure on education and health in order to improve it's economic growth. indonesia came as the second position followed by phillipines, malaysia, and thailand. implication of this research is that the government needs to put more attention to improve primary and secondary sector to maintain the low level of income distribution inequality in indonesia. keyword : percapita gdp growth, government public expenditure on education and health, fixed effect model.