Human capital is a key factor for growth process, competitiveness and development. This link operates through multiple pathways at the individual, firm and national level. The human capital (education, health, labor market) affects output on economic growth through at least three channels: first, it increases in the labor productivity, which leads to increase the output; second, the increase in the productivity of labor leads to high demand for labor therefor output rises because of the number of employed workers increases; third, it leads to an increase in human capital stock, which attracts physical capital from other countries (increase in foreign investment). Therefore, the main objective of this study is to highlight the models which discuss the relation between human capital and economic growth. Also, we examine the empirical relationship between human capital and GDP per capita (constant 2010$) in a panel of 15 … |
