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Human Capital Measurement: A Survey

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  • Giuseppe Folloni
  • Giorgio Vittadini

Abstract

After a short history of the concept of human capital (henceforth HC) in economic thought ( Section 1 ), this study presents the two main methods for estimating the value of the stock of HC - the retrospective and prospective one - with a review of the models proposed ( Section 2 ). These methods are linked both to the theory of HC investment as a rational choice ( Section 3 ), the literature analysing the contribution of HC investment to economic growth and the HC estimating method through educational attainment ( Section 4 ). The more recent literature on HC as a latent variable is also assessed ( Section 5 ) and a new method of estimation where HC is seen both as an unknown function of formative indicators and as a 'latent effect' underlying earned income is proposed ( Section 6 ). Section 7 concludes. Copyright � 2010 Blackwell Publishing Ltd.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Journal of Economic Surveys.

Volume (Year): 24 (2010)
Issue (Month): 2 (04)
Pages: 248-279

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Handle: RePEc:bla:jecsur:v:24:y:2010:i:2:p:248-279

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Cited by:
  1. Caragliu, Andrea & Del Bo, Chiara, 2011. "Determinants of spatial knowledge spillovers in Italian provinces," Socio-Economic Planning Sciences, Elsevier, vol. 45(1), pages 28-37, March.
  2. Lindmark, Magnus & Andersson, Lars Fredrik, 2014. "Where Was the Wealth of the Nation? Measuring Swedish Capital for the 19th and 20th Centuries," CERE Working Papers 2014:1, CERE - the Center for Environmental and Resource Economics.
  3. Dmitry V. Kovalevsky, 2011. "Structural Dynamic Economic Model SDEM-2," DEGIT Conference Papers c016_043, DEGIT, Dynamics, Economic Growth, and International Trade.
  4. Peter E.J. Steffen, 2013. "The Real Income Shares of Labor, Human and Physical Capital from Micro- and Macro-Data," Macroeconomics and Finance Series 201309, Hamburg University, Department Wirtschaft und Politik.
  5. Teixeira, Aurora A.C. & Tavares-Lehmann, Ana Teresa, 2014. "Human capital intensity in technology-based firms located in Portugal: Does foreign ownership matter?," Research Policy, Elsevier, vol. 43(4), pages 737-748.
  6. G. Antonelli & R. Antonietti & G. Guidetti, 2009. "Organizational Change, Skill Formation, Human Capital Measurement: Evidence From Italian Manufacturing Firms," Working Papers 661, Dipartimento Scienze Economiche, Universita' di Bologna.
  7. Messinis, George & Ahmed, Abdullahi D., 2013. "Cognitive skills, innovation and technology diffusion," Economic Modelling, Elsevier, vol. 30(C), pages 565-578.
  8. Peter E.J. Steffen, 2013. "The Real Income Shares of Labor, Human and Physical Capital: Determination Method and First Results for Germany," Macroeconomics and Finance Series 201302, Hamburg University, Department Wirtschaft und Politik.

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