Featured Research

from universities, journals, and other organizations

Are the wealthiest countries the smartest countries?

Date:
June 28, 2011
Source:
Association for Psychological Science
Summary:
It's not just how free the market is. Some economists are looking at another factor that determines how much a country's economy flourishes: how smart its people are. Researchers have analyzed test scores from 90 countries and found that the intelligence of the people, particularly the smartest 5 percent, made a big contribution to the strength of their economies.

It's not just how free the market is. Some economists are looking at another factor that determines how much a country's economy flourishes: how smart its people are. For a study published in an upcoming issue of Psychological Science, researchers analyzed test scores from 90 countries and found that the intelligence of the people, particularly the smartest 5 percent, made a big contribution to the strength of their economies.

In the last 50 years or so, economists have started taking an interest in the value of human capital. That means all of the qualities of the people who make up the workforce. Heiner Rindermann, of the Chemnitz University of Technology, wanted to look more closely at human capital, and particularly the factor that psychologists call cognitive ability. "In other words, it's the ability of a person to solve a problem in the most efficient way -- not with violence, but by thinking," Rindermann says. He wrote the new study with James Thompson of University College London.

The researchers collected information on 90 countries, including far-off lands from the U.S. to New Zealand and Colombia to Kazakhstan. They also collected data on the country's excellence in science and technology -- the number of patents granted per person and how many Nobel Prizes the country's people had won in science, for example.

They found that intelligence made a difference in gross domestic product. For each one-point increase in a country's average IQ, the per capita GDP was $229 higher. It made an even bigger difference if the smartest 5 percent of the population got smarter; for every additional IQ point in that group, a country's per capita GDP was $468 higher.

"Within a society, the level of the most intelligent people is important for economic productivity," Rindermann says. He thinks that's because "they are relevant for technological progress, for innovation, for leading a nation, for leading organizations, as entrepreneurs, and so on." Since Adam Smith, many economists have assumed that the main thing you need for a strong economy is a government that stays out of the way. "I think in the modern economy, human capital and cognitive ability are more important than economic freedom," Rindermann says.


Story Source:

The above story is based on materials provided by Association for Psychological Science. Note: Materials may be edited for content and length.


Journal Reference:

  1. H. Rindermann, J. Thompson. Cognitive Capitalism: The Effect of Cognitive Ability on Wealth, as Mediated Through Scientific Achievement and Economic Freedom. Psychological Science, 2011; 22 (6): 754 DOI: 10.1177/0956797611407207

Cite This Page:

Association for Psychological Science. "Are the wealthiest countries the smartest countries?." ScienceDaily. ScienceDaily, 28 June 2011. <www.sciencedaily.com/releases/2011/03/110317163630.htm>.
Association for Psychological Science. (2011, June 28). Are the wealthiest countries the smartest countries?. ScienceDaily. Retrieved August 29, 2014 from www.sciencedaily.com/releases/2011/03/110317163630.htm
Association for Psychological Science. "Are the wealthiest countries the smartest countries?." ScienceDaily. www.sciencedaily.com/releases/2011/03/110317163630.htm (accessed August 29, 2014).

Share This




More Science & Society News

Friday, August 29, 2014

Featured Research

from universities, journals, and other organizations


Featured Videos

from AP, Reuters, AFP, and other news services

Who Could Be Burnt by WHO's E-Cigs Move?

Who Could Be Burnt by WHO's E-Cigs Move?

Reuters - Business Video Online (Aug. 28, 2014) The World Health Organisation has called for the regulation of electronic cigarettes as both tobacco and medical products. Ciara Lee looks at the impact of the move on the tobacco industry. Video provided by Reuters
Powered by NewsLook.com
JPMorgan Chase Confirms Possible Cyber Attack

JPMorgan Chase Confirms Possible Cyber Attack

Reuters - US Online Video (Aug. 28, 2014) Attackers stole checking and savings account information and lots of other data from JPMorgan Chase, according to the New York Times. Other banks are believed to be victims as well. Fred Katayama reports. Video provided by Reuters
Powered by NewsLook.com
CDC Director On Ebola Outbreak: 'It's Worse Than I Feared'

CDC Director On Ebola Outbreak: 'It's Worse Than I Feared'

Newsy (Aug. 28, 2014) CDC director Tom Frieden says the Ebola outbreak is even worse than he feared. But he also said there's still hope to contain it. Video provided by Newsy
Powered by NewsLook.com
UN: Ebola Cases Could Eventually Reach 20,000

UN: Ebola Cases Could Eventually Reach 20,000

AP (Aug. 28, 2014) The Ebola outbreak in West Africa eventually could exceed 20,000 cases, more than six times as many as are known now, the World Health Organization said as the US announced plans to test an experimental Ebola vaccine. (Aug. 28) Video provided by AP
Powered by NewsLook.com

Search ScienceDaily

Number of stories in archives: 140,361

Find with keyword(s):
Enter a keyword or phrase to search ScienceDaily for related topics and research stories.

Save/Print:
Share:

Breaking News:
from the past week

In Other News

... from NewsDaily.com

Science News

Health News

Environment News

Technology News



Save/Print:
Share:

Free Subscriptions


Get the latest science news with ScienceDaily's free email newsletters, updated daily and weekly. Or view hourly updated newsfeeds in your RSS reader:

Get Social & Mobile


Keep up to date with the latest news from ScienceDaily via social networks and mobile apps:

Have Feedback?


Tell us what you think of ScienceDaily -- we welcome both positive and negative comments. Have any problems using the site? Questions?
Mobile: iPhone Android Web
Follow: Facebook Twitter Google+
Subscribe: RSS Feeds Email Newsletters
Latest Headlines Health & Medicine Mind & Brain Space & Time Matter & Energy Computers & Math Plants & Animals Earth & Climate Fossils & Ruins